Interbank Certificates of Deposit Interest Rate fell from the “high ground”

Jinshi data, December 17 news, recently, the downward space of the interest rate of interbank certificates of deposit has gradually opened up, and the interest rate of 1-year AAA interbank certificates of deposit has dropped by more than 20 basis points in two weeks. Industry insiders believe that the self-discipline reform of non-bank interbank deposits has landed, prompting the interbank deposit interest rate to descend from the "high ground," and the bank's liability cost is expected to drop, thereby increasing the bank's space for allocating certificates of deposit and to a certain extent, enhancing the attractiveness of interbank certificates of deposit. Industrial Securities believes that the lowest spread between interbank certificates of deposit and open market 7-day reverse repurchase operations in 2024 is 13 basis points. Considering the low probability of another interest rate cut within the year, the low point of interbank certificates of deposit may fall in the range of 1.6% to 1.7%, and the high point may be in the range of 1.75% to 1.8%.
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