Sino-Singapore Jingwei Client, November 11, on the morning of the 11th, the central bank announced that in order to maintain reasonable and sufficient liquidity in the banking system, it has carried out a reverse repurchase operation of 150 billion yuan by way of interest rate bidding, with a period of 7 days and the winning interest rate maintained at 2.20 %.
Today, 120 billion yuan of reverse repurchase expires, and a net investment of 30 billion yuan is realized.
Source: Central Bank website
Since November, in the 8 trading days up to now, except for November 6 and November 9, the central bank has conducted reverse repurchase operations in the remaining 6 trading days, with a total investment of 590 billion yuan and a period of 7 Day, the winning bid rate is 2.20%.
In addition, according to Wind data, a total of 600 billion yuan of MLF expired in November, of which 400 billion yuan on November 5 and 200 billion yuan on November 15.
The central bank said in an open market business transaction announcement issued on the 5th that it will renew the mid-term loan facility (MLF) that expires this month on November 16, and the specific operation amount will be determined based on market demand and other conditions.
Analysts pointed out that the impact of the November tax period and bond issuance payments on liquidity is expected to be reduced. Liquidity pressure is concentrated in the first ten days. On the one hand, there are about 1 trillion central bank liquidity instruments that expire, on the other hand, large IPOs. Cause the effect of funds in transit.
Regarding the 200 billion MLF due on November 15th, analysts believe that the amount of MLF due is not large, but it is at the peak of the November tax period. There is little doubt that the central bank will re-increase its operations, but how to match it There is uncertainty in the use of reverse repurchase and MLF.
In the previous three months, the central bank has chosen to carry out over-renewal of expired MLFs. If the over-renewal is not implemented in November, it may be understood by the market as a new policy signal.
In terms of open market operations, Huaan Securities said that the total liquidity returned in November was 1.215 billion yuan, a small increase from October. It is expected that the central bank will adopt corresponding hedging tools in November to continue to maintain reasonable and sufficient liquidity.
(Zhongxin Jingwei APP)