Free Trial

MNI:PBOC Skips OMOs For 10th Straight Day; Liquidity Unchanged

     BEIJING (MNI) - The People's Bank of China skipped its open-market
operations again Friday, saying the liquidity level in the banking system is at
a "relatively high" level and the impact of banks' required reserve payments can
be absorbed.
     This left liquidity conditions unchanged, as no reverse repos mature on
Friday. 
     Today is the tenth consecutive trading day that the PBOC skipped its open
market operations.
     The PBOC drained a net of CNY510 billion via its open market operations
this week.
     The CFETS-ICAP money-market sentiment index ended at 34 on Thursday, down
from 37 at Wednesday's close. The lower the reading the better the liquidity
conditions in the interbank market. Thursday index was well below the 54 reading
last Friday. 
     The benchmark seven-day repo average was last at 2.6500%, compared with
2.7010% on Thursday.
--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$MM$]

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.