Liquidity eased on Tuesday. Overnight repo rates rose around 4 bps at 2.6075 percent, and 7-day repo rates rallied around 5 bps at 2.8805 percent. Yields of cash T-bonds diverged in brisk trading. 1-year T-bonds yields remained unchanged at 3.23 percent; 5-year T-bonds fell 4.5 bps to yield 3.58 percent; 10-year T-bonds added 3 bps to yield 3.72 percent. Yields of financial bonds turned higher in heavy trading. 1-year bonds issued by China Development Bank inched up 1 bp to yield 3.75 percent; 5-year bonds issued by the Bank climbed 4 bps to yield 4.43 percent; and 10-year bonds gained 4.5 bps to yield 4.675 percent.

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