The yield curve seeks downward

Although Zhou Xiaochuan, the governor of the People's Bank of China, recently said that the level of interest rates has been low and there is limited space for future interest rate cuts, Su Ning, vice president of the People's Bank of China and director of Shanghai, 16th, in the theme "Shanghai International Financial Center: Opportunities and challenges under the new The central bank can adjust the double rate to promote moderate growth of the money supply.　　We firmly believe that, despite the limited space for interest rate cuts, there is still ample market funding and there is no expectation of drastic changes throughout the year. Credit products, non-credit products, the yield of a certain space to move downward, of which the three-year central votes, five-year midterm votes for the medium-term yield of the majority of the decline, the five-year midterm ticket because of its relatively high yield, demand more exuberant. National debt trend is relatively smooth, trading light, 5 years-10 varieties sold more active, 080026 in 2.3%,080010 and 080018 to pay in 3% and 2.99%, basically with the last Friday flat. Both buyers and sellers of financial debt are not active, the market is relatively light, 3 years of financial debt in the afternoon from 1.965% to 1.94%, downward 2 bp. 5-year financial debt was slightly shaken downward, trading in 2.69%-2.7%, compared to the Friday downward 1-2 BP.　　7 years and 10 varieties sold a small, relatively light trading, stable trend. Within 3 months of the short-term central vote is hot, many institutions have a large number of needs, but the whole volume of the selling plate is scarce. 1-2 months of the central vote yield slightly upward 1 bp,3 months and six months of the variety of the deal in the vicinity of 0.96% and 1%, compared to the last Friday down 2 BP. Banks on the 2-year central votes have a large demand, buying in about 1.605% continued to buy, sell more, buyers and sellers power balance, yield small consolidation, deal in the vicinity of 1.6%. Individuals continue to bullish on the 5-year middle-class central enterprise medium-term bills, institutions can be bold to hold. (Haitong Securities Fixed Income Department Yang Yang)