Group 1 - The People's Bank of China will implement a moderately loose monetary policy in the upcoming period, ensuring ample liquidity and aligning the growth of social financing and money supply with economic growth and price level expectations [1][2] - The report emphasizes the importance of promoting a reasonable recovery in prices as a key consideration for monetary policy [1] - There will be improvements in the interest rate adjustment framework, with a focus on enhancing the guidance of central bank policy rates and the transmission mechanism of market-based interest rates [1] Group 2 - The monetary policy tools will be utilized to support technological innovation, boost consumption, assist small and micro enterprises, and stabilize foreign trade [2] - The report highlights the importance of maintaining a managed floating exchange rate system and ensuring the stability of the RMB exchange rate at a reasonable and balanced level [2] - There is a commitment to explore and expand the central bank's macro-prudential and financial stability functions to maintain financial market stability and prevent systemic financial risks [2]

更多消息，持续更新中 15日，中国央行发布2025年第二季度中国货币政策执行报告。 其中提出，进一步完善利率调控框架，强化央行政策利率引导，完善市场化利率形成传导机制，发挥市 场利率定价自律机制作用，持续强化利率政策的执行和监督，降低银行负债成本，推动社会综合融资成 本下降。畅通货币政策传导机制，提高资金使用效率，防范资金空转，把握好金融支持实体经济和保持 自身健康性的平衡。发挥好货币政策工具总量和结构双重功能，用好结构性货币政策工具，加力支持科 技创新、提振消费、小微企业、稳定外贸等。 下阶段，落实落细适度宽松的货币政策。根据国内外经济金融形势和金融市场运行情况，把握好政策实 施的力度和节奏，保持流动性充裕，使社会融资规模、货币供应量增长同经济增长、价格总水平预期目 标相匹配，持续营造适宜的金融环境。把促进物价合理回升作为把握货币政策的重要考量，推动物价保 持在合理水平。 更多消息，持续更新中…… 风险提示及免责条款 市场有风险，投资需谨慎。本文不构成个人投资建议，也未考虑到个别用户特殊的投资目标、财务状况 或需要。用户应考虑本文中的任何意见、观点或结论是否符合其特定状况。据此投资，责任自负。 ...

Report Industry Investment Rating No relevant content provided. Core Viewpoints of the Report - From May 6 - 9, short - term varieties performed well, with the 1Y CD rate breaking through the resistance level around 1.75% and dropping nearly 10BP. From May 12 - 16, the net payment of government bonds increased significantly to 6453 billion yuan, putting pressure on the capital market. However, the RRR cut on May 15 will provide 1 trillion yuan of long - term liquidity support, and it is expected that the capital interest rate will remain around 1.5%. The result of the Sino - US trade negotiation exceeded expectations, the bond market quickly adjusted, and the short - term still has value. If the capital interest rate stays around the policy rate, when the 1Y CD rate drops to around 1.6%, profit - taking is needed [3][9]. - The "2025 Q1 China Monetary Policy Implementation Report" has three key points: First, it affirms the phased results of interest rate formation and transmission and will further improve the interest rate regulation framework; second, it shifts from focusing on activating the stock and preventing idling to increasing credit investment and highlighting quantitative tools; third, it mentions the US tariff policy multiple times and sets up a special column to discuss government debt and inflation [3][9][13]. Summary According to the Directory 1. Current Situation and Future Concerns - On May 7, a package of financial policies were introduced. From May 6 - 9, the net payment of government bonds was negative, but the capital price declined slowly before the interest rate cut on May 8, which may be related to the central bank's net reverse - repurchase withdrawal of over 1 trillion yuan from May 6 - 7. After the interest rate cut on May 8, the capital price dropped significantly. As of May 9, DR001 was 1.49%, R001 was 1.52%, DR007 was 1.54%, and R007 was 1.58%. The spread between DR007 and 7DOMO was 14BP, and the spread between R007 and DR007 remained within 5bp [8]. - The result of the Sino - US trade negotiation exceeded expectations, the bond market quickly adjusted, the long - end adjustment was larger, and the yield curve steepened. In the short term, the possibility of further easing decreased, and the short - term still has value [9]. 2. Money Market Interest Rate Tracking - From May 6 - 9, the central bank's open - market operations had a net withdrawal of 781.7 billion yuan, all from pledged reverse - repurchase. From May 12 - 16, the pledged reverse - repurchase due was 836.1 billion yuan and the MLF due was 125 billion yuan. The bill interest rate changed little from May 6 - 9, with the 3M national - share discount rate rising from 1.07% to 1.09% and the six - month national - share transfer discount rate remaining around 1.07% [32][34]. 3. Open - Market Operation Tracking - As of May 9, the central bank's total open - market operation balance was 9664.1 billion yuan, including a pledged reverse - repurchase balance of 836.1 billion yuan, a repurchase - style reverse - repurchase balance of 460 billion yuan, and an MLF balance of 465.7 billion yuan. From May 6 - 9, the central bank's open - market operations had a net withdrawal of 781.7 billion yuan, all from pledged reverse - repurchase. From May 12 - 16, the pledged reverse - repurchase due was 836.1 billion yuan and the MLF due was 125 billion yuan [39]. 4. Government Bond Tracking 4.1 Government Bond Issuance - From May 5 - 9, treasury bonds were issued for 37.1 billion yuan with a net financing of 19.558 billion yuan; local bonds were issued for 10.5459 billion yuan with a net financing of 6.7224 billion yuan. From May 12 - 16, treasury bonds were issued for 55 billion yuan with a net financing of 46.067 billion yuan; local bonds were issued for 19.725 billion yuan with a net financing of 17.1114 billion yuan [45][47]. 4.2 Government Bond Payment - From May 6 - 9, the net payment of government bonds was - 12.29 billion yuan, with the net payment of treasury bonds at - 75.42 billion yuan and that of local bonds at 63.13 billion yuan. It is expected that from May 12 - 16, the net payment of government bonds will be 645.32 billion yuan, with the net payment of treasury bonds at 481.67 billion yuan and that of local bonds at 163.65 billion yuan [52]. 5. Inter - Bank Certificate of Deposit (CD) Tracking 5.1 Primary Market of Inter - Bank CDs - From May 6 - 9, inter - bank CDs were issued for 857.7 billion yuan, with a net financing of 368.5 billion yuan. From May 12 - 16, the maturity of inter - bank CDs was 593.9 billion yuan. In terms of bank types, joint - stock banks had the highest issuance scale; in terms of maturity types, 1Y had the highest issuance scale. The overall issuance success rate was 97%. The issuance success rate of state - owned banks was the highest at 100%, and that of 1Y was 98%. The issuance interest rates of all types of banks and all maturities decreased significantly [57][58]. 5.2 Secondary Market of Inter - Bank CDs - From May 6 - 9, after the central bank announced the RRR cut and interest rate cut, the secondary - market yields of CDs of all maturities decreased significantly, with the 3M CD yield dropping by 13bp and the yields of other maturities dropping by about 8bp [80]. 6. Excess Reserve Ratio Tracking - The estimated excess reserve ratio at the end of March 2025 was 1.00%. From May 6 - 9, the central bank's open - market net withdrawal was 781.7 billion yuan, and the net payment of government bonds was - 12.29 billion yuan, reducing the excess reserve scale by 769.41 billion yuan in total [86].