Bond Market Overview //
1. Open market operations
On September 9, the central bank launched a 7-day reverse repurchase operation of 91.5 billion yuan in the form of fixed interest rate and quantity bidding, with an operating interest rate of 1.70%. Wind data shows that 3.5 billion yuan of reverse repurchase expired on the same day.
(*Data source: Wind-Central Bank Dynamic PBOC)
2. Funding side
Although the central bank's open market continued to maintain net injection, the intensity slowed down, and the overnight repo weighted rate in the interbank market rose more than 8 basis points on Monday to approach the 1.8% mark. Overseas, the latest United States overnight financing guarantee rate is 5.35%.
(IMM)
(*Data source: Wind-International Monetary Fund Sentiment Index, Capital Composite Screen)
3. Interbank certificates of deposit
The latest second-tier trading volume of one-year interbank certificates of deposit of state-owned and major joint-stock banks was around 1.97%, a slight increase from last week.
(*Source: Wind-Interbank Certificate of Deposit-Issuance Results)
4. The yields of major interbank interest rate bonds fell across the board.
(*Source: Wind-Transaction Statistics BMW)
5. Recent trend and data of interest rate spreads of various maturities of urban investment bonds (AAA).
(*Source: Wind-Spread Analysis)
6. Treasury bond futures closed up across the board.
The main 30-year contract rose 0.31%
The main 10-year contract rose 0.1%
The main 5-year contract rose 0.03%
The main 2-year contract rose 0.01%
(*Source: Wind-Treasury Futures)
News //
1. China's CPI rose 0.6% year-on-year in August, with an expected increase of 0.7% and a previous increase of 0.5%; PPI fell 1.8% year-on-year, with an expected decline of 1.4% and a previous decline of 0.8%.
National Bureau of Statistics: In August, affected by factors such as high temperature and rainy weather, the national CPI rose seasonally month-on-month, and the year-on-year increase continued to expand; From a year-on-year perspective, the price of pork rose by 16.1%, which was 4.3 percentage points lower than that of the previous month due to the high base of comparison in the same period last year.
2. In the past week, about 10 public bond bases, including ICBC Credit Suisse Fund and Guotai Fund, suspended large-scale purchase restrictions. The purchase limit of the bond base is as low as 10,000 yuan, and the bond base with a scale of more than 12 billion yuan has fallen by 0.36% in the past January. Against the backdrop of bond market volatility, bond funds have successively responded to market uncertainty by restricting purchases.
Global Macro //
1. According to Eurostat, economic growth in the eurozone and the EU was revised down to 0.2% in the second quarter. Industry insiders point out that weaker economic indicators may pose a risk to the outlook for economic growth in the eurozone. Slowing economic growth could open the door for the ECB to cut interest rates. The consensus is that the ECB will cut interest rates by 25 basis points at the upcoming ECB meeting.
Bond Events //
1. S&P: Downgraded China Vanke's long-term issuer credit rating to "BB-", outlook remains "negative"
2. Shaanxi Securities Regulatory Bureau: issued a warning letter to Xi'an Qujiang Daming Palace Investment Group due to non-market issuance
3. Qingdao Securities Regulatory Bureau: Shandong Xincheng Hengye Group took the measure of issuing a warning letter, and there was a non-market issuance
4. Zhenro Real Estate Holdings: The company and its subsidiaries are involved in four major lawsuits
Negative Bond Events of the Week:
(*Source: Wind-Negative Bond Events)
The risk of non-standard assets of urban investment this month
(*Data source: Wind-Risk Monitoring RISK)
Upcoming Programs //
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