SHIBOR: Overnight Rate Falls 0.10bp to 1.2610%

The split between a marginally lower overnight fixing and a firmer 7-day rate points to uneven short-term liquidity rather than a broad easing signal, while the larger decline in the 3-month tenor suggests the longer end of the curve is pricing a softer funding outlook. These are small moves in China's benchmark interbank rates, so the signal is directional at best, but the divergence across tenors is the part worth noting. Whether the 3-month decline extends while the front end stays choppy is the open question for gauging how interbank liquidity conditions are actually trending.