CITIC Securities: Central Bank's Policy Reforms Signal Easing to Support Financial Stability and Economic Recovery

36Kr reports that CITIC Securities noted the opening ceremony of the 2026 Financial Street Forum released significant signals on monetary policy reform. Policy rates are expected to be re-anchored from the seven-day reverse repo rate to the overnight reverse repo rate at an opportune time, likely guiding the overnight rate central tendency to lower levels and widening the spread between seven-day and overnight rates; under the advancement of diversified loan rate benchmarks, broad-spectrum rate cuts are expected to materialize; the creation of liquidity support tools for large-scale redemptions by non-bank institutions and the expansion of SLF applicability are anticipated to further improve the liquidity environment for non-banks. Overall, the central bank's series of policy reforms have released strong easing signals, expected to aid financial market stability and real economy recovery.