PBOC says its necessary to increase support to the real economy

People’s Bank of China:

  • Urges
    financial institutions to act swiftly in implementing expansive
    financial policies
  • Necessary to increase credit support for the real economy,
    maintain a reasonable growth in the total amount of money and credit
  • Necessary to also strengthen the implementation and transmission
    of interest rate policies, and solidly organise the batch adjustment
    of interest rates to reduce the stock of housing loans

Earlier today we had the news of depo rate cuts at Chinese banks:

More banks have announced 25bp rate cuts since then.

PBoC, NFRA and CSRC held a meeting with major financial institutions.

This article was written by Eamonn Sheridan at www.forexlive.com. Source