Free Trial

MNI: PBOC Conducts CNY58.2 Bln Via OMO Mon; 7day Repo Rate Cut

MNI (Singapore)
MNI (Beijing)

The People's Bank of China (PBOC) conducted CNY58.2 billion via 7-day reverse repo on Monday, with rate cut to 1.70% from the previous1.80%. The 7-day reverse repo operation will be adjusted to a fixed rate and quantity bidding to optimize the open market operation mechanism. Meantime, the interest rate of the 7-day repo will be cut to 1.70% from the previous 1.80% to further strengthen counter-cyclical regulation and increase financial support for the real economy, PBOC announced Monday morning. The operation has led to a net drain of CNY70.8 billion after offsetting the CNY129 billion maturity today, according to Wind Information.

  • The seven-day weighted average interbank repo rate for depository institutions (DR007) fell to 1.7155% at 09:41 am local time from the close of 1.8682% on Friday.
  • The CFETS-NEX money-market sentiment index, measuring interbank money-market liquidity, close at 45 on Friday, the same as the close on Thursday. A higher reading points to tighter liquidity condition, with 50 representing an equilibrium.
True

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.