CITIC Construction Investment released a research report stating that the bond market, represented by long-term bonds, has recently fluctuated by a certain margin, but no significant changes have been observed in the fundamental pattern and macroeconomic policies, and no incremental structural factors driving the decline in bond market yields have yet been discovered. Therefore, judging that changes in market sentiment are the main cause of this fluctuation. The fermentation of risk aversion and capital transfers brought about by the short-term weakening of the equity market are the core driving forces of this round of strengthening. The easing expectations brought about by the phased increase in central bank investment have resonated slightly with this main cause, amplifying market fluctuations. Projected backwards, the current low lacks long-term support. After the equity market stabilizes and sentiment is absorbed, the long-term debt position will still move closer to the upper equilibrium range, and the 1.65% line of 10Y treasury bonds is still worth observing.

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