What does reverse repurchase mean by expiration?

Reverse repurchase means that the central bank buys the securities of primary dealers and sells them when the reverse repurchase expires, which leads to the withdrawal of funds and the tightening of funds in the interbank market. Let's talk to you about the significance of the expiration of reverse repurchase.

Do reverse repurchase?

1. What do you mean, reverse repurchase expires?

The expiration of reverse repurchase is equivalent to the central bank withdrawing funds from the market, while positive repurchase is also withdrawing funds from the market, but it is also limited by the term of positive repurchase and has different meanings.

On the contrary, the maturity of repurchase is equivalent to the central bank putting money into the market. Although reverse repurchase is also to put funds into the market, it has a limited repurchase period and has different meanings.

The so-called repurchase is actually the agreed term and the expected annualized interest rate. It is a kind of capital transaction behavior between borrowers and lenders. The expiration of reverse repurchase or reverse repurchase does not mean that reverse repurchase or reverse repurchase is needed. No matter whether it is a positive repurchase or a reverse repurchase and its maturity, it is actually only through the settlement system to settle the maturity of funds.

Second, is the threshold for reverse repurchase high?

The threshold of Shanghai stock market is slightly higher: 1 1,000 yuan per hand, 1 1,000 lots. In other words, you need to prepare at least1000 *10 = 10w, an integer multiple of10w, and no more than 1000000000.

The threshold of Shenzhen stock market is much lower, 1 1,000 yuan, and the integer multiple of 1 1,000 is increasing, and there is no upper limit.