The People's Bank of China (PBoC) has conducted a series of monetary operations, including injecting 353.2 billion yuan via 7-day reverse repos at an unchanged rate of 1.50%. This operation, conducted on March 5, 2025, resulted in a net drain of 195.5 billion yuan from the open market, as 548.7 billion yuan was due. Additionally, the PBoC set the USD/CNY reference rate at 7.1714, which is approximately 800 pips stronger than market expectations. On March 6, the PBoC again adjusted the USD/CNY reference rate to 7.1692, which was notably lower than the prior estimate of 7.2386. The central bank's recent actions indicate a tightening of liquidity in the market, with a total net drain of 110.5 billion yuan reported on March 6, following the sale of 104.5 billion yuan in reverse repos.