The bond market's strength continues, with trading funds dictating the pace of recovery.

Since February, the bond market has continued to strengthen, with long-term interest rates falling more than some market expectations. From the perspective of fund structure, this round of the market is supported by allocation plates and then relayed by trading plates, forming a phase resonance. As of the close on February 24, the 30-year government bond futures rose by 0.2% to 112.96 yuan, breaking through the key level of 113 yuan during the day. Analysts believe that the abundant bank funds, the entry of trading institutions, and an overall loose liquidity environment have jointly solidified the foundation of this round of bond market recovery. However, the subsequent market momentum will depend more on the strength and sustainability of trading capital allocation.