Group 1: Deposit Growth - In the first seven months of this year, RMB deposits increased by 18.44 trillion yuan, compared to an increase of 10.66 trillion yuan in the same period last year, resulting in an additional increase of 7.78 trillion yuan this year [2] - Household deposits rose by 9.66 trillion yuan this year, up from 8.94 trillion yuan last year, indicating a growing trend in household savings despite economic pressures [2] - Non-financial corporate deposits increased by 310.9 billion yuan this year, a recovery from a decrease of 3.23 trillion yuan last year, attributed to a significant issuance of local government bonds [2][3] Group 2: Local Government Bonds - In the first seven months, local government bonds totaled approximately 60.65 billion yuan, a 9.5% increase compared to 55.4 billion yuan in the same period last year [3] - The issuance of local government bonds has improved corporate balance sheets, leading to an increase in non-financial corporate deposits [3] - A substantial portion of the funds raised through bond issuance has not yet been allocated to projects, indicating potential future liquidity in the market [3] Group 3: Financial Products and Investment Behavior - Non-bank financial institutions saw deposits increase by 4.69 trillion yuan this year, up from 2.96 trillion yuan last year, reflecting a shift of funds from traditional deposits to higher-yield financial products [4] - The number of new public funds issued from January to July reached 708, with a total issuance of 714.67 billion units, marking a 22% increase year-on-year [4] - The majority of new fund issuance was in bond funds, which accounted for 80% of total issuance, indicating a preference for fixed-income investments [4] Group 4: Wealth Management and Capital Markets - As of June 2025, the scale of China's banking wealth management market was 30.67 trillion yuan, with a year-to-date growth of 2.38% and a year-on-year increase of 7.53% [5] - In July, there was a decrease of 1.1 trillion yuan in household deposits, while non-bank deposits increased by 2.14 trillion yuan, suggesting a trend of funds moving towards financial products and capital markets [5] - The increase in non-bank financial institution deposits is indicative of a more active financial investment environment among private sectors, particularly in the context of declining deposit rates [6]

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The Philippine central bank sees around 100 billion pesos ($1.7 billion) being poured into a voluntary retirement investment program that could help boost the domestic capital market https://t.co/bqryfsv1vB ...

Core Viewpoint - Shenzhen aims to enhance its financial market by supporting leading institutions through mergers, reorganizations, and innovative organizational strategies to strengthen their capabilities [1] Group 1: Policy Initiatives - The Shenzhen Municipal Financial Management Bureau and the Shenzhen Regulatory Bureau of the China Securities Regulatory Commission have issued an action plan for 2025-2026 to leverage capital markets in building an industrial financial center [1] - The plan emphasizes the importance of high-quality listed companies and aims to strengthen regulatory oversight of investment banking activities [1] Group 2: Support for Institutions - Leading institutions are encouraged to develop through mergers and reorganizations, while smaller institutions are urged to pursue differentiated and specialized operations [1] - Investment institutions are prompted to enhance their research capabilities and optimize resource allocation [1] Group 3: Market Development - The initiative includes guiding leading securities firms to develop overseas businesses and supporting companies in utilizing both domestic and international markets to increase their global influence [1] - There is a focus on product innovation to meet the wealth management needs of residents and to promote high-quality development of inclusive finance [1] Group 4: Long-term Investment - The plan supports investment institutions in utilizing social security funds, pension funds, and annuities to attract long-term capital into the market [1] - It also promotes the development of personal pension services in Shenzhen and encourages pension and insurance funds to accelerate their equity investment activities [1]

Core Viewpoint - The recent financial policy package reflects the central government's accurate understanding of the macroeconomic situation, injecting strong confidence into the market [1] Group 1: Policy Impact - The policies are expected to enhance market expectations for new liquidity, aiming to stabilize the capital market in the short term [1] - The combination of total policy regulation and precise structural support is anticipated to promote steady development of the real economy and transition towards high-quality economic growth in the medium to long term [1] Group 2: Market Confidence - Clear policy logic, pragmatic content, and defined execution paths contribute to strong market confidence [1] - As policies are gradually implemented and yield results, the inherent stability of the capital market is expected to improve, potentially elevating China's high-quality economic development to a new level [1]

Market Overview - The central bank conducted a 7-day reverse repo operation on April 8, with a total amount of 167.4 billion yuan and a fixed interest rate of 1.50%, resulting in a net injection of 102.5 billion yuan after accounting for maturing repos [1][2]. Funding Conditions - Overnight and 7-day pledged repo rates for deposit-taking institutions have both increased, with the weighted average rate for overnight repos rising by approximately 1 basis point [3]. Interbank Certificates of Deposit - The latest transaction for one-year interbank certificates of deposit among major banks is around 1.79%, showing a significant increase compared to the previous day [6]. Government Bonds - The yields for various government bonds are as follows: - 1-year: 1.5325% - 2-year: 1.4700% - 5-year: 1.5395% - 10-year: 1.6650% - 30-year: 1.8590% [9]. Recent City Investment Bonds - The yield spreads for AAA-rated city investment bonds across different maturities have shown notable trends, indicating market sentiment and risk perception [10][11]. Treasury Futures - The main contracts for treasury futures have experienced declines, with the 30-year contract down by 0.54%, the 10-year down by 0.17%, and shorter maturities also showing slight decreases [12]. Key News - The central bank expressed strong support for the Central Huijin Investment Company to stabilize the capital market by increasing its holdings in stock market index funds and providing necessary refinancing support [13]. - The Ministry of Finance and the Ministry of Housing and Urban-Rural Development announced a competitive evaluation process for cities to receive central financial support for urban renewal actions in 2025 [14]. - The financial regulatory authority optimized the investment ratios for insurance funds, potentially bringing an estimated 1.66 trillion yuan of new funds into the market by fully utilizing the upper limit of equity asset ratios [14]. Global Macro - Singapore's Prime Minister stated that the country is carefully assessing the impact of U.S. tariffs and will not impose retaliatory tariffs [16]. - Malaysia's Prime Minister announced that the country will take necessary measures to protect its economic interests in response to the U.S. "reciprocal tariff" policy [17]. Bond Market Events - The Ministry of Finance plans to issue 80 billion yuan of three-phase discount treasury bonds on April 9 [19]. - Various cities are exploring policies to stabilize the real estate market [19]. - Jiangsu Province is encouraging enterprises to issue technology innovation bonds in the interbank market [19]. - Japan's 30-year government bond auction saw the weakest demand since December 2023 [19].