Liquidity tightened on Tuesday. Overnight repo rates jumped around 38 bps compared with the previous trading session to close at 3.2723 percent, and 7-day repo rates surged around 113 bps at 5.0095 percent. Yields of cash T-bonds diverged in brisk trading. 1-year T-bonds yields rose 2 bps at 2.84 percent; 5-year T-bonds added 2.5 bps to yield 3.125 percent; 10-year T-bonds inched down 0.5 bps to yield 3.31 percent. Yields of financial bonds were mixed in heavy trading. 1-year bonds issued by China Development Bank climbed 11 bps to yield 3.65 percent; 5-year bonds issued by the Bank increased 3 bps to yield 4.06 percent; and 10-year bonds lost 0.75 bps to yield 4.1125 percent.

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