PBoC injects CNY 115bln in 7-day reverse repos with the rate at 1.40% and CNY 1tln in overnight reverse repos with the rate at 1.25%
Newsquawk ·
PBoC injects CNY 115bln in 7-day reverse repos with the rate at 1.40% and CNY 1tln in overnight reverse repos with the rate at 1.25%. The 7-day reverse repo is the PBoC's policy rate and its main daily liquidity tool, so an unchanged 1.40% rate signals policy continuity rather than any shift in stance; the signal content sits in the volumes, which are set against maturing operations to determine net injection or drain. The large overnight leg is the less routine element: overnight operations of this scale have historically been deployed around seasonal or event-driven liquidity tightness, such as tax payment periods, heavy government bond issuance, holiday cash demand, or quarter-end regulatory checks, where money market rates threaten to drift above the policy corridor. The practical read is that interbank funding conditions were firm enough to warrant a sizeable short-dated backstop, with the overnight tranche effectively capping front-end repo rates near 1.25%. The usual sequence is that such operations are allowed to mature quietly once the pressure passes, and their repetition or expansion is the tell that tightness is structural rather than seasonal. Worth noting is that the PBoC has in the past used the size and tenor mix of open market operations as a signalling device in lieu of rate moves, so shifts in the daily net position over subsequent sessions carry more information than any single operation. The follow-ons are the next few days of OMOs, the behaviour of the DR007 fixing against the 7-day rate, and any MLF operation later in the month. 29 Oct, 01:16 PBoC sets USD/CNY midpoint at 6.7147 vs exp. 6.6596 (prev. 6.7165) 29 Oct, 00:25 PBoC is expected to set USD/CNY mid-point at 6.6596 (prev. 6.7165) 28 Oct, 13:00 Newsquawk US Daily Equity Opening News - SKHY surges after op profit beat; NXPI & STX down after results 28 Oct, 10:15 Newsquawk Daily US Opening News - 28th October 2026 28 Oct, 03:09 [MARKET ANALYSIS] Asia-Pac stocks are higher amid the ongoing tech rebound and record SK Hynix earnings, while participants await central bank decisions PBoC injects CNY 151bln via 7-day reverse repos with the rate kept at 1.40% 1 day ago PBoC sets USD/CNY midpoint at 6.7165 vs exp. 6.6734 (prev. 6.7171) 1 day ago PBoC is expected to set USD/CNY mid-point at 6.6734 (prev. 6.7171) 1 day ago Newsquawk Daily European Equity Opening News - 27th October 2026 1 day ago Newsquawk Daily European Opening News - 27th October 2026 1 day ago [MARKET ANALYSIS] Tech stocks climb in Asia following Anthropic's IPO filing 1 day ago PBoC injects CNY 412bln via 7-day reverse repos with the rate at 1.4% and injects CNY 1tln via overnight reverse repos with the rate at 1.25% 2 days ago PBoC sets USD/CNY midpoint at 6.7171 vs exp. 6.6731 (prev. 6.7162) 2 days ago PBoC is expected to set USD/CNY mid-point at 6.6731 (prev. 6.7162) 2 days ago Newsquawk European Market Wrap - 26th October 2026 2 days ago Newsquawk Daily US Opening News - 26th October 2026 2 days ago PBoC is to set up bond market NBFI swap facility to maintain bond market stability 2 days ago Newsquawk Daily European Opening News - 26th October 2026 2 days ago PBoC injects CNY 56bln via 7-day reverse repos with the rate at 1.40% and injects CNY 398bln through overnight reverse repos 3 days ago PBoC sets USD/CNY midpoint at 6.7162 vs exp. 6.6691(prev. 6.7180) 3 days ago
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