Reported about 9 hours ago
The People's Bank of China's (PBOC) halt on bond buying has led to a rise in short-term interest rates and a flattening yield curve, prompting speculation that the central bank may resume government bond purchases. This month, the one-year bond yield increased over 20 basis points, creating the smallest gap with the benchmark 10-year bond since December 2023. Analysts anticipate the PBOC will need to act soon to maintain a favorable curve as weak inflation and credit demand continue to pressure long-end yields.
Source: YAHOO