PBOC to auction $2.6 billion in bills

The People’s Bank of China (PBOC) said it would auction up to US$2.6 billion in three-month bills on Thursday, Reuters reported. The central bank said it would also sell US$875 million worth of six-month bills. The central bank auctioned US$1.46 billion worth of bills last week, but suspended sales of six-month bills, reportedly over concerns of a funding squeeze caused by the initial public offering of China South Locomotive. The PBOC injected a net US$2.04 billion into the market last week.