SHANGHAI. Jan. 19 -- China's Central Bank raised its one-year bill rate by 8.3 percentage points to 1.9264% on January 19th, up 1.8434% on a weekly basis. The growth rate of one-year bill rate was flat with the level of last week.
Analysts believed that the steady increase of Central Bank's bill rate was to receive back the excessive base currency in the market. From various measures adopted by China's Central Bank in recent two weeks, it can be seen that operation will be quite flexible in open market in the future. With regard to the impact on bond market from the increase of Central Bank's one-year bill rate, negative impact on bond market will be very limited. Therefore, investors needn't to be in a panic, and can continue to focus on investment opportunity of credit debt and to avoid risks of interest rate products temporally.
(Edited by SMM)