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BEIJING, July 16 (Xinhua) -- China's central bank drained 65 billion yuan (9.73 billion U.S. dollars) from the market this week.
This follows a net withdrawal of 645 billion yuan last week.
From Monday through Friday, the People's Bank of China (PBOC) conducted 130 billion yuan in seven-day reverse repos, a process by which central banks purchase securities from banks with an agreement to sell them back in the future.
The reverse repos were all priced to yield 2.25 percent, according to statements on the PBOC website.
Reverse repos worth 195 billion yuan matured this week, so the central bank effectively withdrew 65 billion yuan from the market.
The central bank's move shows that liquidity strain in the country's money market has eased. On Friday's interbank market, the benchmark overnight Shanghai Interbank Offered Rate, known as Shibor, rose 0.3 basis point to 1.996 percent.
