Source: Cailian
The net financing scale of interbank certificates of deposit last week was 413.4 billion yuandeuceswildcard, hitting a new high since March. Since Aprildeuceswildcard, the release of funds from the balance sheet has strained the funds of some commercial banks. In April, the statutory deposit reserve of commercial banks fell by 267.4 billion yuan. Guohai Securities Research Institute stated that there are three main reasons for this round of large-scale transfer of funds from on-balance sheet to off-balance sheet. First, after the end of the first quarter, bank funds tend to be released from the balance sheet, and the scale of financial management has increased seasonally. Second, supervision has tightened the identification of insurance asset management deposits and promoted the transfer of some on-balance sheet deposits to off-balance sheet deposits. Third, in April, the regulatory crackdown on "manual interest payments" further accelerated the transfer of funds to off-balance sheet. The trend of this round of funds being released from the balance sheet may continue until the beginning of the third quarter. In the medium term, with the end of the "patching" reform, a new round of deposit-listed interest rate cuts may come. Although the pressure on the supply of interbank certificates of deposit has increased, thanks to the overall easing of interbank funds, the demand for interbank certificates of deposit is strong, showing a pattern of "both supply and demand are booming", and the upward risk of interest rates may not be large.