SHANGHAI/TOKYO - China cut the benchmark lending rate on Thursday, as widely expected, as the authorities move to lower financing costs for businesses and support an economy jolted by a severe coronavirus outbreak.
The one-year loan prime rate CNYLPR1Y=CFXS, the new benchmark lending gauge introduced in August, was lowered by 10 basis points to 4.05% from 4.15% at the previous monthly fixing.All 51 respondents in a Reuters snap survey had expected a reduction in the LPR, with 38 respondents, or about 75% of participants, tipping a 10 basis points cut to both tenors.
“The Chinese authorities are sending a message that easing will happen, but it will happen at a measured pace. They do not want fuel expectations that they will be easing aggressively,” Mishra said. Banks are already setting lending rates well below the benchmark and if government subsidies are taken into account, some borrowers may not pay any interest at all, sources told Reuters.
The world’s second-biggest economy, already grappling with growth at its weakest in almost three decades as a trade war with the United States took its tool, had shown some signs of stabilization just before the epidemic hit.
Debt bubble is about to burst. Beware.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Stocks fall as Apple warning raises China virus concernsU.S. stocks slipped in early trading Tuesday after technology giant Apple became the most well-known company to warn of a financial hit from the virus outbreak in China Maybe there's a lesson to be learned here about being over-reliant on China and trusting the CCP? 🤔
Source: ABC - 🏆 471. / 51 Read more »
China Turns to Health-Rating Apps to Control Movements During Coronavirus OutbreakChina’s technology giants are using health-rating systems to help authorities track the movement of millions of Chinese, adding a new and controversial tool in the country’s battle to contain the fast-spreading outbreak. Technology is the death of all human freedom. No corona. Just live, and freedom! Cash no respected, what is your covid2019? I want kill you... Pretty smart
Source: WSJ - 🏆 98. / 63 Read more »
Walmart breaks down how the coronavirus has hit its $10 billion business in China - Business Insider'Our primary focus is of course on our associates and our customers,' Walmart CEO Doug McMillon told investors.
Source: BusinessInsider - 🏆 729. / 51 Read more »
China Cancels Important ‘Two Sessions’ Meeting As Fight Against Coronavirus IntensifiesThe Communist Party is reportedly canceling their so-called “Two Sessions” parliamentary meeting set for early March as the fight against the coronavirus intensifies
Source: Forbes - 🏆 394. / 53 Read more »
Coronavirus Exposes Businesses’ Dependency on ChinaCities have been locked down, logistics and the movement of people hampered, and consumer demand dented, leaving companies—both Chinese and foreign—grappling to resume operations. Go to India 🇮🇳 Haha, clever way to disguise the fall of global demand of iphones.... As if it was “hidden” before.... 🙄
Source: WSJ - 🏆 98. / 63 Read more »