The PBOC may suspend a sale of 90-day bills tomorrow as banks don't want to part with cash ahead...

|By:, SA News Editor

The PBOC may suspend a sale of 90-day bills tomorrow as banks don't want to part with cash ahead of the New Year holidays. Tight monetary policy combined with capital outflows has put a pinch in interbank funding markets, the 7-day repo rate touching 5% last night, a 2-month high. Chatter continues the PBOC may again cut the bank reserve ratio requirement before the holiday.