MNI China Daily Summary: Tuesday, April 28

     INFLATION: China's pork production is increasing as the inventory of hogs

at the end of Q1 rose 3.5% from a year ago to more than 10 million, while the

number of breeding sows gained 9.8% to more than 30 million, the Ministry of

Agriculture said. Output of poultry eggs and milk is also increasing, it said. 

     LIQUIDITY: The People's Bank of China (PBOC) skipped open market operations

for the third day, leaving liquidity unchanged, according to Wind Information.

Liquidity in the banking system is reasonable and ample, the PBOC said on its

website.

     RATES: The seven-day weighted-average interbank repo rate for depository

institutions (DR007) fell to 1.3807% from 1.4480% on Monday, Wind Information

showed. The overnight repo average decreased to 0.8614% from 0.8685%.

     YUAN: The yuan weakened to 7.0855 against the dollar from 7.0836 on Monday.

PBOC set the dollar-yuan central parity rate higher at 7.0710, compared with

7.0703 set on Monday.

     BONDS: The yield on 10-year China Government Bonds was last at 2.5025%,

down from the close of 2.5101% on Monday, according to Wind Information.

     STOCKS: The Shanghai Composite Index lost 0.19% to 2,810.02. Hong Kong's

Hang Seng Index rallied 1.22% to 24,575.96.

     FROM THE PRESS: China's tourism and cultural authorities urged regional

government to open up more travel and tourism options to consumers during the

May 1-5 Labour Day holiday, China Central Television reported. Local officials

must also keep virus-preventative measures in order to ensure consumers' safety

during the first major holiday after the country emerges from the coronavirus

outbreak, CCTV cited the government as saying.

     China is planning new measures to support businesses, including cutting

taxes and rents as well as lowering financing costs, the Economic Information

Daily reported. Purchasing orders keep businesses sustainable and more efforts

should be made to boost domestic demand, the newspaper said citing Wang Qing,

chief analyst at the credit-rating agency Dongfang Jincheng. Wang pointed to

larger-scale consumer subsidies, the easing of car purchase restrictions, and

increased infrastructure investment, the newspaper said.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI Beijing Bureau; +86 10 8532 5998; email: william.bi@mni-news.com

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