Profile Picture
Illya Gerasymchuk
Entrepreneur / Engineer
User Illya Gerasymchuk -

2025-07-10 09:53

πŸ‡¨πŸ‡³ china injects liquidity mainly via reverse repurchase agreements

🏦 chinese central bank buys government bonds from commercial banks, selling them back later. this new cash is re-invested yielding a spread

πŸ’Ή essentially, they allow banks to earn a yield on their bonds

Thought Image
User

πŸ‡ΊπŸ‡ΈπŸ‡¨πŸ‡³ USA & China are the global liquidity drivers in financial markets

since 2000, each injected β‰ˆ$6 trillion of public money into markets. that's β‰ˆ40% of global liquidity 🀯

in 2025 - China is leading with injections

Quoted Thought Image
πŸ’¬