FINWIRES · TerminalLIVE
FINWIRES

Market Chatter: PBOC Drains Liquidity as Bond Yields Hit 8-Month Low

By

China's central bank has reduced its daily cash injection to a historic low as authorities move to absorb excess liquidity from the financial system, Bloomberg News reported Tuesday.

The People's Bank of China offered just 200 million yuan through seven-day reverse repos on Tuesday, the smallest amount ever recorded in a daily open market operation, according to the report. This resulted in a net withdrawal of nearly 249 billion yuan.

The move follows a sharp slowdown in loan growth that left banks flush with cash, pushing the benchmark 10-year bond yields to 1.7%, the lowest since August 2025, Bloomberg wrote.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Related Articles

Asia

Hong Fok Repurchases More Shares

Hong Fok (SGX:H30) bought back 322,000 shares in the open market on Tuesday for around SG$318,609, according to a same-day after-market filing with the Singapore Exchange.To date, the property investment company has repurchased 3.3 million shares under its current buyback program.

$SGX:H30
Asia

Hotung Investment Buys Back Shares

Hotung Investment (SGX:BLS) bought back 22,600 shares in the open market on Tuesday for SG$35,810, according to a same-day filing with the Singapore Exchange.The venture capital investment company can repurchase around 9.5 million shares under its existing repurchase mandate.

$SGX:BLS
Asia

Metech International Concludes Debt Capitalization

Metech International (SGX:V3M) completed its debt capitalization exercise by converting a loan of SG$1.5 million into equity by issuing around 62.5 million shares at SG$0.024 per share to a lender, according to a Tuesday Singapore bourse filing.The new shares are expected to be listed on June 4.

$SGX:V3M