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MNI China Liquidity Index™ – Down To 35.7 in February


Liquidity across China's interbank market eased in February, according to traders, as the PBOC acted to keep conditions loose in the financial system, and the economy showed the first signs of a rebound through the Chinese New Year celebrations, the latest MNI Liquidity Conditions survey showed.

The Liquidity Condition Index fell to 35.7 in February from the previous 65.3. The higher the index reading, the tighter liquidity appears to survey participants.

The PBOC acted to keep conditions 'ample' in order to support the recovery, traders told MNI.

  • The Economy Condition Index picked up to 78.6, following last 61.1 reading, marking the highest level since last June when the economy was rebounding after the Shanghai lockdown.
  • The PBOC Policy Bias Index read 44.3, picking up from last months’ 41.7, with 88.6% of the participants seeing policy stance as on hold.
  • The Guidance Clarity Index stood at 58.6, following the previous reading of 54.2, with 82.9% of the participants saying recent PBOC signals were clear.
  • The 7-Day Repo Rate Index rose to 57.1 in February, up from the previous 40.3, with 37.1% of the participants seeing the rate curve climbing in the next two weeks while another 22.9% predicted falling rates.
  • The 10-year CGB Yield Index stood at 54.3, with 31.4 % traders predicting higher yields on the back of better economic expectations.

Click below for the full press release:

MNI China Liquidity Index February Presser 2023.pdf

For full database history and full report on the MNI China Liquidity Index™, please

MNI London Bureau | +44 203-865-3812 |
MNI London Bureau | +44 203-865-3812 |

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