Towards the end of the month, open market operations reappeared in reverse repurchase of 100 billion yuan.
On October 27 and 28, the People's Bank of China announced on the open market business transactions that in order to maintain stable liquidity at the end of the month, it carried out reverse repurchase operations of 240 billion yuan and 90 billion yuan respectively through interest rate bidding.
On October 25 and 26, the People's Bank of China carried out reverse repurchase operations of 230 billion yuan and 280 billion yuan respectively, with a duration of 7 days, and the winning interest rate remained unchanged at 2%.
Industry insiders analyzed that the central bank's large-scale reverse repurchase to protect market liquidity is mainly related to the approaching tax period, the large-scale issuance of special bonds, and the recent return of capital interest rates to policy interest rates.
The data shows that from October 1st to October 20th, DR007 (the 7-day weighted average repurchase rate of inter-bank market depository institutions) remained below 1.6%, rising to 1.6726% on October 21st, and further on October 25th. rose to 1.9195%.
By October 26, DR007 had reached 2.0226%, indicating a tightening trend of liquidity.
"This time the People's Bank of China has increased its reverse repurchase operations and realized net short-term capital investment, mainly to hedge against short-term capital disturbances such as tax peaks and special bond issuance." Zhou Maohua, a macro researcher at the Financial Market Department of China Everbright Bank, said that recently, Affected by these short-term factors, the market interest rate has risen significantly, and the market demand for short-term funds has increased.
The flexible operation of the People's Bank of China will help to stabilize short-term capital fluctuations, and at the same time, it will also send a signal that it will maintain reasonable and sufficient market liquidity.
Lou Feipeng, a researcher at Postal Savings Bank of China, believes that October is a traditional tax payment month, which has an impact on liquidity. The main purpose of carrying out large-scale reverse repurchases at this time is to hedge against the peak tax payment and liquidity revenue caused by government bond issuance and payment. impact and stabilize short-term liquidity.
Pang Ming, chief economist of Jones Lang LaSalle Greater China, said that whether the reverse repurchase operation in the previous week maintained a certain net withdrawal scale, or the recent realization of a considerable scale of net investment, it shows that the central bank has been timely, moderate and flexible in the near future. The obvious intent to maintain the smooth functioning of liquidity.
"Considering the gradual weakening of the marginal effect of favorable liquidity factors such as the central bank's turnover of surplus profits and tax refunds, the pressure on liquidity caused by factors such as government bond issuance, fiscal tax payment, and changes in the overseas interest rate environment, coupled with the need to ease credit To continue to support stable growth and support the real economy, attention should be paid to capital and liquidity." Pang Ming said.
In Pang Ming's view, maintaining a reasonable and sufficient liquidity is still the basic premise and primary condition for maintaining credit, protecting and repairing, and supporting stable growth. Support and care provide the necessary guarantees.
Pang Ming predicts that the central bank will continue to increase the implementation of prudent monetary policy, comprehensively use a variety of monetary policy tools such as quantity and price, optimize the policy mix, maintain a state of reasonable and sufficient liquidity, maintain the stable operation of market interest rates, and give full play to the role of monetary policy tools. The dual functions of total volume and structure can more strongly support the real economy.
Recently, the Party Committee of the People's Bank of China and the Party Group of the State Administration of Foreign Exchange held an enlarged meeting to conscientiously convey and study the spirit of the 20th National Congress of the Communist Party of China and the First Plenary Session of the 20th Central Committee of the Party, and study, deploy and implement the work.
The Party Committee of the People's Bank of China and the Party Group of the State Administration of Foreign Exchange agreed that since the 18th National Congress of the Communist Party of China, the financial industry has achieved historic achievements and undergone historic changes, and the quality and efficiency of financial support for the real economy has been greatly improved.
The macroeconomic policies and macro-control have achieved remarkable results, the price level has remained stable, the international balance of payments has been basically balanced, and the economic fundamentals have become more solid.
Risks in the eight areas pointed out by the Fifth National Financial Work Conference have clearly converged.
New major breakthroughs have been made in financial reform and opening up.
The meeting called for the People's Bank of China and the State Administration of Foreign Exchange to continue to maintain a reasonable growth in the total amount of money and credit, increase support for key areas such as technological innovation, rural revitalization, regional coordinated development, and green development, and stabilize the macroeconomic market.
We will deepen the market-oriented reform of the exchange rate, enhance the flexibility of the RMB exchange rate, and maintain the basic stability of the RMB exchange rate at a reasonable and balanced level.
Implement the long-term mechanism of fine-grained financial services for small and micro enterprises and private enterprises who dare to lend, willing to lend, and will lend, and enhance the vitality of micro-subjects.
Strengthen departmental collaboration to maintain the healthy development of the stock market, bond market and property market.
(Economic Daily reporter Yao Jin)