Bond prices on China's interbank bond market are likely to correct on Friday after the central bank's reverse repo sale.
The People's Bank of China, China's central bank, conducted on Thursday 10 billion yuan 7-day reverse repos at an unchanged rate of 2.25 percent and finally drained a net 25 billion yuan out of the financial system via the open market operations this week.
Traders noted that the move showed that the central bank is reluctant to guide down capital price too rapidly, which may to some extent weigh on bond prices.
On Thursday, ChinaBond New Composite Total Return Index, a broadly-based market sentiment indicator, lost 0.0468 percent to 167.2744 points.
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