Liquidity balanced on Friday. Overnight repo rates were little changed compared with the previous trading session to close at 2.4453 percent, and 7-day repo rates rose around 3 bps at 2.8446 percent. Yields of cash T-bonds edged up in brisk trading. 1-year T-bonds yields inched up 0.5 bps at 3.02 percent; 5-year T-bonds firmed 1 bp to yield 3.17 percent; 10-year T-bonds rallied 4.5 bps to yield 3.365 percent. Yields of financial bonds turned higher in heavy trading. 1-year bonds issued by China Development Bank were flat to yield 3.60 percent; 5-year bonds issued by the Bank increased 3 bps to yield 4.065 percent; and 10-year bonds gained 0.5 bps to yield 4.10 percent.

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