PBOC to Launch 600 Billion Yuan Six-Month Reverse Repo on June 15; U.S.-Iran Near Hormuz Strait Agreement

According to the PBOC official website, on June 15, 2026, the People's Bank of China will launch a 600 billion yuan buy-back reverse repo operation with a six-month maturity (183 days), expiring December 15, 2026. The move aims to maintain ample liquidity in the banking system.

May data showed M2 money supply at 353.67 trillion yuan, growing 8.6% year-over-year, while M1 increased 5.5% to 114.89 trillion yuan. The broader social financing aggregate stock reached 458.81 trillion yuan as of May, up 7.7% annually. According to IRNA and G7 officials, the U.S. and Iran are approaching a Hormuz Strait reopening agreement ahead of next week's G7 summit. Officials indicated a memorandum of understanding could be signed as early as Sunday in Geneva, with nuclear negotiations to follow within 60 days of signing.