Global Market: PBOC keeps new overnight repo rate at 1.25%, pumps in 600 billion yuan

The People's Bank of China kept the new overnight reverse repo rate unchanged at 1.25%, which is 15 basis points lower than the seven-day reverse repo rate of 1.4%. PBOC injected 600 billion yuan through overnight reverse repos and an additional 69.5 billion yuan via seven-day reverse repos on Tuesday to help banks manage month-end funding needs. The new overnight facility gives PBOC greater flexibility to fine-tune short-term liquidity without altering its broader monetary policy stance.