Briefly

Central bank conducts reverse repos

China's central bank conducted 172.6 billion yuan ($24 billion) of seven-day reverse repos at an interest rate of 1.5 percent on Monday. The move aims to keep liquidity in the banking system adequate at a reasonable level, the central bank said. A reverse repo is a process in which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.

Yuan strengthens against greenback

The central parity rate of the Chinese currency renminbi, or the yuan, strengthened 85 pips to 7.1907 against the US dollar on Monday, according to the China Foreign Exchange Trade System. In China's spot foreign exchange market, the yuan is allowed to rise or fall by 2 percent from the central parity rate each trading day. The central parity rate of the yuan against the dollar is based on a weighted average of prices offered by market makers before the opening of the interbank market each business day.

Xinhua - China Daily