PBoC Injects USD 19.9 Billion into Economy

China’s central bank injected CNY 130 billion (USD 19.9 billion) into the financial system via seven-day reverse repos at an interest rate of 2.25 percent on January 5th 2016. It is the biggest cash injection since September aiming to calm markets.
Joana Taborda | joana.taborda@tradingeconomics.com 1/5/2016 8:34:25 AM
The move comes after the Chinese stocks slumped nearly 7% on Monday after data showed the country’s manufacturing sector shrank for the tenth straight month and leading to a global selloff. 

However, markets in China reacted mixed. The Shanghai Composite Index closed 0.26% lower on Tuesday after gaining as much as 0.95% and falling as much as 3.2%. The Shenzen Composite ended 1.86% lower and the CSI 300 edged up 0.28%. 

PBoC Injects USD 19.9 Billion into Economy