SHANGHAI, March 5 China's benchmark seven-day
bond repurchase rate opened at 3.8 percent on
Wednesday, rising 80 basis points from Tuesday's close after the
central bank assertively drained funds from money markets on
The People's Bank of China moved to mop up excess liquidity
after key rates showed signs of sliding too far, with the
weighted average rate of seven-day repos hitting a low of 2.843
percent on Monday, its lowest rate since May 2013.
The PBOC responded by draining 85 billion yuan ($13.84
billion) on Tuesday, putting upward pressure on rates.
($1 = 6.1430 Chinese yuan)
(Reporting by Pete Sweeney; Editing by Paul Tait)