Analyst: Quantitative monetary policy tools will be further strengthened in the fourth quarter, and the central bank may implement a new round of reserve requirement ratio cuts.

Wang Qing, chief macro analyst at Orient Securities, said that the continuous injection of medium-term liquidity by the central bank better meets the credit financing needs of businesses and residents, helps stabilize market expectations, and maintains market liquidity adequacy. By continuing to release signals of the quantitative easing monetary policy tools, it indicates that monetary policy will continue to be supportive. Wang Qing predicts that in the fourth quarter, quantitative easing monetary policy tools will be further strengthened, and the central bank may implement a new round of reserve requirement cuts, as well as timely resume government bond transactions. Wang Qing also stated that the central bank will comprehensively use reverse repurchase agreements and MLF operations to continue injecting medium-term liquidity into the market. This means that market liquidity will remain relatively stable and ample until the end of the year, with limited room for upward movement in market interest rates.