Core Viewpoint - The bond market is experiencing a mixed performance with short-term bonds showing strength due to a relaxed funding environment, while long-term bonds are under pressure as yields rise [1]. Group 1: Market Performance - On March 28, government bond futures mostly declined, with the 30-year main contract falling by 0.49% and the 10-year main contract down by 0.08% [1]. - The interbank market showed a divergence in the performance of major interest rate bonds, with mid-to-long-term bonds weakening and yields generally rising, while short-term bonds remained relatively strong [1]. Group 2: Market Dynamics - Institutional speculation remains the primary conflict in the bond market, with recent strength in bonds attributed to a loose funding environment, a warming attitude from the central bank, and the fermentation of bullish sentiment [1]. - The core factor influencing the market is the central bank's stance, with a potential for convergence in its attitude post-quarter-end, which could impact yield movements [1]. Group 3: Future Outlook - Short-term bond yields are expected to fluctuate, and significant easing of funding conditions could open up downward space for yields [1]. - Attention is drawn to the upcoming manufacturing PMI data expected to show an increase from February, as well as the central bank's March reverse repos and government bond trading data to be released on Monday [1]. Group 4: Product Insights - The government bond ETF (511520) saw a net inflow of over 1.3 billion, bringing its total scale to over 39.4 billion, making it the largest bond ETF in the market [1]. - The government bond ETF (511520) is noted for its good liquidity and suitability for clients looking to extend duration in the market, serving as a useful tool for bond market trading and allocation [1].