China’s Central Bank Conducts 35 Billion Yuan 7-Day Reverse Repo at 1.40%

A small, rate-unchanged open-market operation matters less for its size than for what it signals about the PBOC's preference for steady, incremental liquidity management rather than aggressive easing. The unchanged 1.40% rate suggests no shift in the policy stance, even as the net injection adds modest cushioning to the banking system. The open question is whether this steady-drip approach persists if liquidity conditions tighten, or whether the central bank shifts to larger or longer-tenor operations.