Policy

PBOC Skips OMOs Monday; Drains CNY40 Bln

Date 9/11/2017 5:03:02 PM

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.

Edited by SHMET