Policy

PBOC to inject 170 bln yuan via reverse repos

Date 1/23/2018 4:57:29 PM

    SHANGHAI, Jan 23 (Reuters) - China's central bank will inject 170 billion yuan ($26.55 billion) into money markets on Tuesday, traders said.

    The People's Bank of China (PBOC) is injecting 80 billion yuan through seven-day reverse bond repurchase agreements, 80 billion yuan through 14-day reverse repos and another 10 billion yuan through 63-day reverse repos, they said.

    On a net basis, the PBOC will neither drain nor inject any cash into the market via open market operations for the day, with 170-billion-yuan worth of reverse repos due to mature on Tuesday.

    Financial News, a central bank-owned publication, said on Tuesday that the PBOC would conduct open market operations with flexibility in order to keep liquidity basically stable in the market. The remarks by the official media suggests the central bank is seeking to keep liquidity balanced.

    The PBOC injected net 590 billion yuan into the money market last week.

($1 = 6.4035 Chinese yuan)

 

Edited by SHMET