China’s five‑year government bond yield fell to a record low after the People’s Bank of China (PBOC) pumped a historic amount of liquidity into the banking system. The yield on 5‑year sovereign notes briefly touched 1.34%, heading for the lowest closing level on record according to Chinabond data dating back to 2002. The central bank injected a net 1.01 trillion yuan ($151 billion) via reverse repurchase agreements in open market operations—the largest daily net injection on record, Bloomberg data show.
This massive cash infusion reflects policymakers’ efforts to support growth and keep borrowing costs low amid economic headwinds.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing