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OFZs Firm W/W, 10Y Stalls Out Above 6.80

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China is likely to keep liquidity level appropriate and policies stable, and the market needs not to be concerned even as the pace of credit expansion has slowed, the Securities Times reported citing analysts. Monetary policies will emphasize two structural aspects of extending the terms for small business loans and green finance, the newspaper said. That the central bank kept LPR unchanged for the 14th month and MLF rate the same for the 15th month showed prudent and neutral monetary stance, the newspaper said. Regulators may also judge the soaring commodity-driven PPI to be unsustained, which means that MLF isn't likely to be raised due to inflation, the newspaper said. Credit growth is likely to be maintained given a rebound in corporate bond offerings and further expansion of special-purpose local government bonds, the newspaper said.