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CHINA RATES

China Repo Rates Diverge on Thursday

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CHINA PRESS
CHINA PRESS: The PBOC is likely to roll over the maturity of CNY286 billion of
medium-term lending facility (MLF) next Monday and potentially use MLF to add
more liquidity, according to a report in Securities Daily. Citing Yan Se, chief
economist at Founder Securities, the report says the PBOC is less likely to cut
the reserve requirement ration (RRR) in December, but could do so in January.
Yan said that by January the market would see more special purpose bond issuance
by local government authorities, and bank lending should also move higher. 

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