PBOC skips OMOs, says liquidity is at a relatively high level

As per LiveSquawk report, the People’s Bank of China (PBOC) has skipped the Open Market Operations (OMO) for the fifth straight day as the central bank feels the liquidity is at a relatively high level. 

On Wednesday, the PBOC's lack of action resulted in a net drain of CNY 70 billion, the fourth consecutive daily drain. 

Note that the financial conditions in China are at their tightest in one-year. Hence, do not be surprised to see weak economic data releases in the months ahead.