1. Report Industry Investment Rating No information provided in the report about the industry investment rating. 2. Core Viewpoints of the Report - Since the beginning of the year, the buying force of allocation portfolios for bonds has remained strong. Before the Spring Festival, the yield to maturity of 10-year Treasury bonds fell below 1.80% and stayed below this level. There were some subtle changes in this decline [6][11]. - One change is that trading portfolios took over in the second half of the interest rate decline. From February 9th to 13th, when the 10-year Treasury bond yield broke below 1.80%, securities companies bought 14.2 billion yuan and 25.3 billion yuan worth of 5 - 7Y and 7 - 10Y Treasury bonds respectively, with their buying power exceeding that of large banks, indicating that the marginal buying power of banks decreased below 1.80%, and trading portfolios started to buy [6][11]. - Another change is that the buying behavior of trading portfolios may be related to the basis strategy. The short - selling intensity of securities companies for 10-year Treasury bonds is not strong, and the current net bond borrowing volume is not high. From February 9th to 13th, the basis of the 10-year Treasury bond futures main contract rose from 0.0248 yuan to 0.0655 yuan, corresponding to the positive arbitrage strategy of long cash bonds + short futures. Currently, there is still some room for the basis to recover, and the 10-year Treasury bond is likely to continue to fluctuate [6][11]. - The third change is that funds are "avoiding" 10-year Treasury bonds, and there is room for the tax spread to compress. According to the latest spot bond trading data, funds' net purchases of 10Y policy financial bonds and 30-year Treasury bonds were 56.1 billion yuan and 28.4 billion yuan respectively, while only 3.7 billion yuan of 10Y Treasury bonds were bought. Under the structural change of buying power, the spread between China Development Bank bonds and Treasury bonds may compress [6][12]. 3. Summary According to the Table of Contents 3.1 This Week's Bond Market Review - Since the beginning of the year, the buying force of allocation portfolios for bonds has remained strong. Before the Spring Festival, the yield to maturity of 10-year Treasury bonds fell below 1.80% and stayed below this level. There were changes in trading portfolios taking over, basis - related buying, and funds avoiding 10-year Treasury bonds [6][11]. 3.2 Bond Yield Curve Tracking 3.2.1 Key Maturity Interest Rates and Spread Changes - As of February 13th, compared with February 9th, the 1Y Treasury bond yield rose 0.15bp to 1.32%; the 10Y Treasury bond yield fell 1.86bp to 1.79%; the 30Y Treasury bond yield fell 0.40bp to 2.24%. The spread between 30Y and 10Y Treasury bonds rose 1.46bp to 45.12bp, and the spread between 10Y China Development Bank bonds and 10Y Treasury bonds rose 1.21bp to 15.32bp [13]. 3.2.2 Treasury Bond Maturity Spread Changes - As of February 13th, compared with February 9th, the 3Y - 1Y Treasury bond spread fell 0.42bp to 5.93bp, the 5Y - 3Y spread fell 0.66bp to 16.79bp, the 7Y - 5Y spread rose 0.78bp to 11.11bp, the 10Y - 7Y spread fell 1.71bp to 13.77bp, the 20Y - 10Y spread rose 1.11bp to 43.65bp, and the 30Y - 20Y spread rose 0.35bp to 1.47bp [14]. 3.3 Bond Market Leverage and Funding Conditions 3.3.1 Balance of Inter - bank Pledged Repurchase - As of February 13th, 2026, compared with February 9th, the balance of inter - bank pledged repurchase decreased by 1.01 trillion yuan to 11.86 trillion yuan [19]. 3.3.2 Changes in Inter - bank Bond Market Leverage Ratio - As of February 13th, 2026, compared with February 9th, the inter - bank bond market leverage ratio decreased by 0.67 percentage points to 106.99% [20]. 3.3.3 Pledged Repurchase Turnover - From February 9th to 13th, the average daily turnover of pledged repurchase was 7.67 trillion yuan. The average overnight turnover was about 5.99 trillion yuan, and the average overnight turnover ratio was 74.78% [24][27]. 3.3.4 Operation of Inter - bank Funding Conditions - From February 9th to 13th, the net capital outflow of large banks was 4.53 trillion yuan, the net capital inflow of small and medium - sized banks was 0.47 trillion yuan, and the net capital outflow of the banking system was 4.06 trillion yuan. As of February 13th, DR001 was 1.2645%, DR007 was 1.4259%, R001 was 1.2835%, and R007 was 1.5378% [30]. 3.4 Duration of Medium - and Long - Term Bond Funds 3.4.1 Median Duration of Bond Funds - As of February 13th, the estimated median duration of medium - and long - term bond funds (de - leveraged) was 2.76 years, up 0.01 years from February 9th; the median duration (including leverage) was 2.97 years, up 0.06 years from February 9th [41]. 3.4.2 Median Duration of Interest - Rate Bond Funds - As of February 13th, the median duration of interest - rate bond funds (including leverage) was 3.73 years, up 0.04 years from February 9th; the median duration of credit - bond funds (including leverage) was 2.75 years, up 0.04 years from February 9th. The median duration of interest - rate bond funds (de - leveraged) was 3.35 years, with no significant change from February 9th; the median duration of credit - bond funds (de - leveraged) was 2.54 years, up 0.02 years from February 9th [43]. 3.5 Changes in Bond Lending Balance - As of February 13th, compared with February 9th, the borrowing volume of 10Y China Development Bank bonds decreased [46].