Seven-day pledge repo rate hit 30-month high

Kong, a Shanghai joint-stock bank trader, said in a telephone interview that there were four main reasons for the December capital interest rate shocks: first, the central bank continuously raises the reserve ratio of financial institutions to recover funds. Second, close to the end of the year, the agency's annual funding demand for more robust, December 16, the Ministry of Finance 30 billion yuan 6 months Treasury cash deposit interest rate as high as 5.4%, and then create a new year to see institutions regardless of the cost of capital needs.　　Third, December 20, the bank interest-bearing day needs to prepare to pay, four is next week in the exchange market IPO number of at least 10 issued, there are institutions to borrow funds to purchase under the net.　　He added that yesterday was the day of the deposit reserve, the capital interest rate has been high, but today's fund interest rates continue to rise more than expected, do not rule out the accumulation of funds in the big bank.　　Another trader said in an interview that the money would have improved after the reserve contribution was over, but now the liquidity situation is not as optimistic as the market imagines. The money Market index interest rate--7 days pledge type repurchase weighted average interest rate December 21 to receive 4.05%, the turnover nearly 40 billion yuan.　　A 52-point rise in the previous session, a June 11, 2008-year high.　　The People's Bank of China December 10 afternoon announced the sixth time in 2010 years to raise the reserve requirement rate, since December 20, the increase in reserve ratio of 0.5%. (Stock market weekly Feeds) "Author:" Financial network of the article "reporter Kong"