Central bank interest rate tender manner to reverse repurchase operations, the transaction volume of 183 billion yuan, the successful rate to 6.05%. Twice the central bank through open market release of funds, coupled with non-public sources, a total release of 400 billion yuan of funds, equivalent to a reduction in the deposit reserve ratio.
As early as January 6, the central bank has announced that, before the Spring Festival to promote the smooth operation of the banking system liquidity, the Central Bank decided to suspend the bills before the New Year issue, and based on actual demand for short reverse repurchase operations. Subsequently, the central bank on Tuesday, twice on Thursday to carry out reverse repurchase operations, respectively, the release of 169 billion yuan, 183 billion yuan; Another source said the central bank also directed some of the major banks reverse repurchase, the cumulative release of funds reached 400 billion million.
"Reverse repo" and "repo" corresponds to. The latter refers to the central bank to sell bonds to trade, capital return, and after a period of time agreed to repurchase, equal to the short-term currency withdrawn from circulation; reverse repo, by contrast, have put the role of money.
Insiders said the settlement before the Spring Festival is the peak of business, capital and enterprise tight easily lead to payment of wages, on the relationship between the fracture and other problems downstream; recent inter-bank market interest rates rise, the central bank repo rate is also twice been rising, showing that the funds still face tightening.
Last Tuesday the reverse repurchase stock index rose 4.18% have been propelled, but only on Thursday the Shanghai Composite Index edged up 1.31%, trading volume has been shrinking. Because the operating period of only 14 days, help reverse repurchase of the stock market is limited.
Before the Spring Festival, the Shanghai inter-bank lending market interest rates rise significantly, a number of species of interest has exceeded 8%, indicating very tight liquidity. Earlier in the pre-holiday parties that the central bank will cut the deposit reserve ratio, reverse repo release since there is now money down to reduce the probability of quasi-memory. (Spirit of Autumn)