Quantitative easing with Chinese characteristics? China’s July bond data hint at central bank’s rare move to buy government debt

The People’s Bank of China may have bought government bonds from domestic banks in July, a rare move that has analysts puzzling over the monetary authority’s policy intentions amid a record amount of government debt issuance.Sovereign bonds held by “other” investors – a category that includes central banks and clearing houses -rose by 196.5 billion yuan to 1.78 trillion yuan (US$256 billion) last month, according to data released by China Central Depository & Clearing last week.The increase is…

from South China Morning Post https://www.scmp.com/business/banking-finance/article/3097176/quantitative-easing-chinese-characteristics-chinas-july