Liquidity eased on Tuesday. Overnight repo rates rose around 2 bps at 2.5879 percent, and 7-day repo rates rallied around 4 bps at 2.8942 percent. Yields of cash T-bonds edged down in steadied trading. 1-year T-bonds yields fell 9 bps at 3.41 percent; 5-year T-bonds were down 2 bps to yield 3.83 percent; 10-year T-bonds dropped 2.5 bps to yield 3.885 percent. Yields of financial bonds turned lower in heavy trading. 1-year bonds issued by China Development Bank inched down 0.5 bps to yield 4.26 percent; 5-year bonds issued by the Bank slid 5 bps to yield 4.89 percent; and 10-year bonds lost 6.25 bps to yield 5.005 percent.

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