(1)ChinaBond Index Analysis
ChinaBond Composite Index tracking general performance of bond market went up today. The net price index excluding interest revenue rose by 0.0263%; and the total return index including interest reinvested revenue rose by 0.0367%. In addition, the average yield to maturity was 4.2549%. The average market capitalization yield was 4.2064%. And the market value weighted duration was 3.8711.
(2)Bond Market Performance:
Rate Securities
Generally speaking, the yields of Treasury Bonds and Policy Bank Bonds slipped slightly in general. In the morning, the auction outcome of EXIMBC Bonds on 1/5/10Y went down a little. In the afternoon, the auction outcome of ADBC Bonds 3/7Y went down as well. By the end of day, the yields of short-term Treasury, CDB, ADBC and EXIMBC Bonds went down within 2BPs.
To be more specific, the yield of Treasury Bonds (3Y) went down by 2BPs to 3.48% according to the transaction of 170008; 5Y Bonds went down by 1BP to 3.5% resulted from the transaction of 170007; referring to the quotation and transaction of 170013, the yield for 7Y Bonds was down by 1BP to 3.62%, and notably, the yield for Treasury Bonds (10Y) reduced by 2BPs to 3.57% caused by the quotation and transaction of 170010; the yield for Treasury Bonds (30Y) kept at 3.97% caused by the quotation and transaction of 170005.
Similarly, the yields of CDB bonds decreased slightly. The yield of 3Y Bond descended by 1BP to 4.02% because of the transaction of 170205; 5Y Bond went down by 2BPs to 4.1% resulted from the quotation and transaction of 170206; referring to the transaction of 170210, the yield for 10Y was down by 1BP to 4.18%.
Moreover, yields of ADBC Bonds decreased generally. The yield for 3Y Bond kept stable at 4.04% according to the transaction of 170407; 5Y Bond decreased by 2BPs to 4.12% caused by the transaction of 170409.
The yields of EXIMBC Bonds reduced slightly as above. The yield for 1Y Bond went down by 6BPs to 3.7% according to the transaction of 170308; 10Y Bond was down by 1BP to 4.25% caused by the transaction of 170303.
Credit Bonds
The yields for credit bonds showed mixed pattern. To be more specific, the yields of AAA CP&Notes on 3M stood at 4.15%. The yield of AAA 6M kept at 4.25%, and the yield for 1Y reached 4.40%. The yield for 3Y of AAA went down by 3BPs to 4.45%, while that of AAA 5Y Bonds went up by 3BPs to 4.64%.
The yields for Financial Bonds of Commercial Bank Yield, including CD, presented downtrend especially for short-term ones. The spot of Financial Bonds of Commercial Bank on (AAA 7d/1M/3M/6M/1Y) changed -5BPs, -5BPs, -11BPs, -10BPs and -5BPs to 3.89%, 3.89%, 4.07%, 4.21% and 4.31%.
The yields for Urban Construction Bonds waved in general. Specifically, the yield of Urban Construction Bonds AAA on 1M kept at 3.93%; spots of AAA curve on 1Y/5Y changed by +1BP and -1BP to 4.46% and 4.70%. The yields of AA Bonds on 2Y went up by 1BP to 4.72%.
Exchange Market
In addition, there was 4.9 billion of transaction on exchange bidding system, which was scale shrunk than previous. The yields of highly rated corporate bonds kept previous rate; those of corporate bonds and enterprise bonds with middle and low ratings held previous level as well. There was active transaction for 136137 today.
(3)Data and Statistics
Foreign Exchange Data: The intermediate value of USD/CNY quotation was 6.7464 today, with CNY descended by 13 BPs.
Currency Market: the fund interest rates were mixed entirely, with the overnight shibor up by 3.14 BPs to 2.7534%, while 1M shibor descended by 1.28 BPs to 3.9792%.
PBOC: the Central Bank made a series of reverse repurchase of 40 billion Yuan for 7 days, 20 billion Yuan for 14 days. With no reverse repurchase due, the Central Bank made a net release of 60 billion Yuan.
Stock Market: The stock markets went up. Shanghai composite index went up to 3244.86 by 13.88 points (or 0.43%) and Shenzhen component index went up to 10366.98 by 71.41 points (or 0.69%). GEM index went up to 1688.61 by 3.84 points (or 0.23%).
