The rally in China’s government bonds has cooled as traders pared bets for further policy easing. Data in the coming days may help determine if the gains are revived.
The first clue on the rate outlook could come from liquidity operations on Monday before 700 billion yuan ($108 billion) of medium-term policy loans fall due. Reports on retail sales and factory output expected the same day are forecast to show growth slowed in July, bolstering the case for the People’s Bank of China to lower borrowing costs.
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August 15, 2021 at 07:00AM
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China Bonds Face Week of Reckoning as Loans, Key Data Come Due - Bloomberg
"come" - Google News
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