Over the past period of time, the reduction of reserve requirements and interest rates have been implemented one after another, which reflects the active and promising monetary policy. At the same time, China's economy has continued to recover steadily, the fundamentals of long-term improvement have not changed, and the characteristics of strong toughness, great potential and sufficient power have been further highlighted. Industry experts expect that the follow-up monetary policy will continue to increase countercyclical adjustment to support steady growth and the development of the real economy. After the Spring Festival, the people's Bank of China will also continue its early operation ideas, continue to flexibly use monetary policy tools such as open market operation, maintain reasonable and sufficient liquidity, and fully meet the reasonable liquidity needs of the market. Highlight the front signal of policy On December 15, 2021, the people's Bank of China lowered the deposit reserve ratio of financial institutions by 0.5 percentage points and released about 1.2 trillion yuan of long-term funds; On January 17, 2022, the bid winning interest rates of the people's Bank of China's open market operation and medium-term lending facilitation operation decreased by 10 basis points to 2.10% and 2.85% respectively. The comprehensive reduction of reserve requirements and interest rates has clearly released the policy signal of steady monetary policy. After the interest rate cut, the people's Bank of China increased its efforts to invest in liquidity. In order to maintain stable liquidity before the Spring Festival, the people's Bank of China began to carry out 100 billion yuan 7-day reverse repo every day from January 17 and 14 day reverse repo from January 24, continuously increasing the investment of cross section liquidity to fully meet the market liquidity demand. From the perspective of money market, the money market interest rate also remained stable before the Spring Festival (at the end of January). Market participants believe that although the Spring Festival this year overlaps with the end of January, and there are more short-term disturbance factors, the market capital is very stable under the careful care of the people's Bank of China. "Dr007 operates around the reduced 7-day reverse repo rate of 2.10% in the open market operation. Since January 17, the average dr007 rate has been 2.12%. The interest rate center of the money market has moved down accordingly compared with the previous period, and the market expectation is very stable." The above market participants said. After the holiday, the liquidity is reasonable and sufficient, which can be expected Many experts said that after the Spring Festival, the liquidity is reasonable and abundant, which can still be expected. Liu Guoqiang, vice president of the people's Bank of China, pointed out at the press conference of the state information office a few days ago that the current key goal is stability and the policy requirement is force. We should expand the monetary policy toolbox to keep the total amount stable and avoid credit collapse. From the perspective of liquidity after the Spring Festival, cash withdrawal after the Spring Festival will greatly increase the liquidity of the banking system. Although the reverse repo funds of the people's Bank of China will be recovered naturally after the Spring Festival, the total liquidity of the banking system will increase significantly due to the large return of cash, and the maturity of treasury bonds in the first week after the Spring Festival is relatively large, which will also increase some liquidity. "On the whole, the supply of liquidity is relatively large, and the market capital will be more relaxed than before the festival, which is also a common situation after the Spring Festival over the years." Industry insiders said. Of course, the people's Bank of China will continue to operate flexibly and protect the market. Industry experts predict that after the Spring Festival, the people's Bank of China will also continue its early operation ideas, continue to flexibly use monetary policy tools such as open market operation, maintain reasonable and sufficient liquidity, and fully meet the reasonable liquidity needs of the market. However, it should be noted that the people's Bank of China has repeatedly stressed that it should not pay too much attention to quantitative indicators such as liquidity or open market operation, but observe the changes of market benchmark interest rate indicators such as dr007. It is expected that dr007 will still operate smoothly around the central level of 2.10% after the Spring Festival. Monetary policy continued to make efforts to stabilize growth It can be expected that in the future, monetary policy will continue to make efforts to stabilize growth, accurately support important areas and weak links of the real economy, and create a suitable monetary and financial environment to promote high-quality economic development. At the same time, the policies that have been introduced will continue to produce results, and the policies conducive to economic stability are expected to continue to be introduced. "In short, the goal of the current focus is stability, and the requirement of the policy is force." Liu Guoqiang said that "stability" itself is the biggest "advance". Before the downward pressure on economic growth is fundamentally relieved, we should serve stability, not introduce policies that are not conducive to stability, and more policies that are conducive to stability. Many experts also said that the regulatory authorities are expected to focus more on structural policies to guide financial institutions to continue to increase accurate support for key areas and weak links of the real economy such as small, medium-sized and micro enterprises and green development. As far as the real estate market is concerned, the current real estate market is generally stable and is expected to further realize a virtuous circle. Previously, the financial management department convened several national asset management companies (AMC) to study their participation in asset disposal, Project M & A and related financial intermediary services of venture real estate enterprises. Insiders said that if AMC intervenes, it is expected to speed up the asset disposal progress of real estate enterprises in danger and better maintain the healthy and stable development and virtuous circle of the real estate market. Zou LAN, director of the financial market department of the people's Bank of China, said recently that in the next step, the people's Bank of China will fully implement the long-term mechanism of real estate, maintain the continuity, consistency and stability of real estate financial policies, steadily implement the prudent management system of real estate finance, increase financial support for Housing leasing, and take measures to promote the virtuous circle and healthy development of the real estate industry. (Xinhua News Agency)