PBoC keeps 7-day reverse repo operations at zero

A zero 7-day reverse repo operation means the PBoC is letting maturing injections roll off unrefreshed, a net drain on the day rather than a neutral stance. Episodes of this kind have tended to cluster when front-end liquidity is judged ample, when the interbank rate is trading at or below the policy anchor, or around periods of seasonal flush such as post-quarter-end, and the signal is read against the spread between the interbank fixing and the 7-day policy rate rather than the headline absence itself. The worth noting distinction is between a passive zero, where maturities are small and the drain is trivial, and an active zero against heavy maturities, which signals comfort with tighter conditions. The PBoC's prior form is to smooth rather than surprise, so an extended run of zeros has historically preceded either tolerance of firmer money market rates or a deliberate lean against leverage in the bond market. Follow-ons are the daily OMO pattern through the week, the MLF rollover, and whether the drain shows up in repo fixings and bill yields. As a routine operation it is a liquidity tell, not a policy rate signal.