(Yicai Global) Jan. 2 -- China's central bank, the People's Bank of China, has withdrawn CNY70 billion (USD10.2 billion) in cash from the country's financial system via open market operations on the first trading day of 2019.

The PBOC conducted a seven-day reverse repo of CNY30 billion today, as well as a 14-day reverse repo of CNY10 billion, against a maturing reverse repo of CNY110 billion. The move marks a significant fall compared with a total reverse repo of CNY230 billion on Dec. 29th, the last trading day of last year.

The seven-day reverse repo bid rate was 2.55 percent, while the 14-day rate was offered at 2.70 percent, unchanged from previous open market operations.

The PBOC is expected to maintain moderate open market operations, according to analysts, with cash expected to flow back into the bank system at the beginning of the year.

Editor: William Clegg