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PBOC Skips OMOs Monday; Drains CNY40 Bln

     BEIJING (MNI) - The People's Bank of China skipped open-market operations
Monday, it said.
     Liquidity in the banking system is relatively high and can absorb the
effect of purchasing government treasuries and maturing reverse repos, the PBOC
said.
     There was a net drain of CNY40 billion for the day.
     A total of CNY40 billion in reverse repos matures Monday. A total of CNY110
billion in reverse repos matures this week.
     The CFETS-ICAP money-market-sentiment index ended at 42 Friday compared
with 41 at Friday's close. The lower the reading the better liquidity in the
interbank market.
     The benchmark seven-day repo average was last at 2.6687% compared with
2.8282% Friday.
--MNI Beijing Bureau; +86 10 85325998; email: he.wei@marketnews.com
--MNI Singapore Bureau; +65 9023-5864; email: glen.perkinson@marketnews.com
[TOPICS: MMQPB$,M$A$$$,M$Q$$$,MN$MM$]

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