Central bank increases support for liquidity, funding conditions to return to balanced and slightly loose
The People's Bank of China is actively managing liquidity through open market operations, including significant net injections of funds. Despite these efforts, short-term money market rates have seen some upward pressure due to factors like tax payments and maturing central bank facilities. Analysts anticipate that liquidity will stabilize from an "ultra-loose" state to a "balanced and slightly loose" condition, indicating the central bank's commitment to preventing significant tightening. AI