PBOC to inject 80b yuan via reverse repos -traders

[SHANGHAI] China's central bank will inject 80 billion yuan (S$16.18 billion) into money markets on Tuesday, traders said.

The People's Bank of China is injecting 50 billion yuan through seven-day reverse bond repurchase agreements, 20 billion yuan through 14-day reverse repos, and an additional 10 billion yuan through 28-day reverse repos, they said.

The PBOC drained a net 120 billion yuan from the money market last week.

In early trade on Tuesday, the volume weighted average of the seven-day repo rate was at 2.45 percent, down 46.96 basis points from the previous closing average rate.

The central bank raised the rate on open market operation reverse repos for seven-day, 14-day and 28-day tenors last week, bringing them to 2.45 percent, 2.60 percent and 2.75 percent, respectively.

REUTERS