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MNI: PBOC Skips its OMOs Monday; Drains CNY90 Bln

     BEIJING (MNI) - The People's Bank of China skipped its open market
operations on Monday, saying liquidity conditions in the interbank market remain
at a "relatively high level" which can absorb the impact of maturing reverse
repos.
     The lack of new repos resulted in a net drain of CNY90 billion for the day,
as a total of CNY90 billion in reverse repos mature on Monday. 
     There will be a total of CNY780 billion in reverse repos maturing this
week. In addition, a total of CNY188 billion in Medium-term Lending Facilities
(MLF) loans will mature on Thursday.
     The CFETS-ICAP money-market sentiment index ended at 32 on Friday, down
from 41 at Thursday's close. The lower the reading the better the liquidity
conditions in the interbank market.
     The benchmark seven-day repo average was last at 2.6840%, compared with
2.8383% on Friday.
--MNI Beijing Bureau; +86 10 85325998; email: he.wei@marketnews.com
--MNI BEIJING Bureau; +1 202-371-2121; email: john.carter@mni-news.com
[TOPICS: MMQPB$,M$A$$$,M$Q$$$,MN$MM$]

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