The PBOC may conduct another MLF in.....>

CHINA PRESS: The PBOC may conduct another MLF in the last 10 days of Sept after

CNY176.5 billion concluded on Sept 7 to hedge maturing instruments, Financial

News, the central bank's official newspaper, said in a report citing market

participants. The PBOC's resumption of reverse repos yesterday after 15 days in

the sum of CNY60 billion was to keep reasonable and ample liquidity and

stabilize market expectations, the newspaper said. There won't be many factors

affecting liquidity in Sept, interbank market liquidity will be kept reasonable

and ample, and with the offering of local government bonds, policy coordination

will be the focus of the market, the newspaper said. The PBOC is boosting

medium-term liquidity by opting for medium-term instruments while reducing

short-term repo purchases, it said. Liquidity in the rest of Sept won't likely

be tightened nor will it be significantly boosted, the newspaper said citing

analyst Cui Zhuoju at BOCI Securities.