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10-Year CGB Yield Registers Another Fresh Cycle Low Before Paring Most Of Shallow Move

CHINA RATES

Chinese 10-Year government bond yields hit fresh cycle/multi-decade lows earlier today, with desks pointing to looser funding conditions as a facilitator of the move.

  • Familiar background discussions re: liquidity, economic headwinds & policy easing expectations remain evident.
  • The benchmark now trades close to unchanged at 2.40% vs. lows of 2.39%.
  • Mainland equities turned away from worst levels into the close, which probably helped CGB yields move off lows. Ranges in both were relatively contained on Friday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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