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PBOC Seen Unlikely To Change Reverse Repo Rate In March: Daily

CHINA PRESS
MNI (Singapore)

The People's Bank of China is unlikely to cut the reverse repo rates this month since it left the rate on medium-term lending facility unchanged last week, a sign it intends to "hold steady" in the near term and sees current liquidity supply and demand stable, the Securities Daily said citing analyst. Following top policymakers’ call last Wednesday for boosting market confidence, the PBOC increased injections on Thursday and Friday, pushing down the benchmark DR007, the newspaper said. The increased injections also served to meet higher demand in the second half due to more tax payments and China Government Bond issuances, the newspaper said.

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