China central bank cuts key rate by most since 2020


New worries: The People’s Bank of China building in Beijing. The country’s consumer-driven recovery is showing more signs of losing momentum as spending slows on everything from holiday travel to cars and homes. — Bloomberg

Beijing: China’s central bank unexpectedly reduced a key interest rate by the most since 2020 to bolster an economy that’s facing fresh risks from a worsening property slump. The yuan and bond yields slumped.

The People’s Bank of China (PBoC) lowered the rate on its one-year loans – or medium-term lending facility (MLF) – by 15 basis points to 2.5% yesterday.

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