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CHINA PRESS: China's Treasury Yields Seen Falling Further - Analysts

CHINA PRESS

China’s 10-year treasury yield will likely decline further to 1.65% or even 1.6%, as investors continue to bet on a bond rally amid expectations for reserve requirement ratio and interest rate cuts, Yicai.com reported citing analysts. Ming Ming, chief economist of CITIC Securities said the next rate cut may be 20-25 bps, while the recent downward trend in treasury yields has clearly exceeded this level, noting the risk of  anexcessive bond rally in the short term.

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China’s 10-year treasury yield will likely decline further to 1.65% or even 1.6%, as investors continue to bet on a bond rally amid expectations for reserve requirement ratio and interest rate cuts, Yicai.com reported citing analysts. Ming Ming, chief economist of CITIC Securities said the next rate cut may be 20-25 bps, while the recent downward trend in treasury yields has clearly exceeded this level, noting the risk of  anexcessive bond rally in the short term.