Month's End Cash Hoarding Sends Inter-bank Rates in China Soaring

China money rates soar on maturing repos, month-end caution

The weighted-average 14-day bond repurchase rate
surged by 141.55 basis points to 6.4274 at
midday, just shy of the level it reach on the day before the
Spring Festival holiday.
The price for benchmark seven-day repo loans
also strode higher by 42.10 basis points to 5.5238 at midday and
reached as high as 7.00 percent for individual transactions.
The People's Bank of China (PBOC) injected cash into the
banking system last Friday via unannounced seven-day reverse
repos with selected banks in order to ease an acute liquidity
shortage, the China Securities Journal media previously
reported. Those repos are now set to expire.