Policy

MNI: PBOC Injects CNY270 Bln In OMOs Thu; Liquidity Unchanged

Date 12/7/2017 2:28:21 PM
    BEIJING (MNI) - The People's Bank of China injected CNY120 billion inseven-day reverse repos, CNY50 billion in 14-day reverse repos and CNY100billion in 28-day reverse repos via open-market operations Thursday, accordingto Wind Information, a Shanghai-based financial data provider.

     This resulted in no net injection/drain for the day, as a total of CNY270billion in reverse repos mature on Thursday.

     The PBOC has drained a net CNY420 billion via OMOs so far this week as itskipped open market operations in each of he first three trading days of theweek.

     On Wednesday, the PBOC injected CNY188 billion in one-year Medium-termLending Facility (MLFs) loans at an unchanged interest rate of 3.2%. Theoperation did not add or drain liquidity, as a  total of CNY188 billion in MLFloans matured Wednesday.

     An additional CNY187 billion in MLF loans will mature on Dec. 16.

     The CFETS-ICAP money-market sentiment index ended at 42 on Wednesday, upfrom 36 at Tuesday's close. The lower the reading the better the liquidityconditions in the interbank market.

     The PBOC is expected to make an official announcement on its officialwebsite about this morning's OMO around 9:45 a.m., Beijing time.

     The benchmark seven-day repo average was last at 2.6576%, compared with2.7624% on Wednesday.

Edited by SHMET