PBOC cuts benchmark interest rate, Lending rate cut by 25 Bps

By FXStreet FXStreet (Mumbai) – The People’s Bank of China (PBOC) cut its benchmark interest rate and lending rate by 25 basis points, a day after ECB’s Draghi hinted at more easing in December.

PBOC reduced 1-Year Lending Rate By 25 Bps to 4.35% effective as of Oct 24 and 1-Year Deposit Rate by 25 Bps, to 1.50%.

The PBOC said it intends to improve regulation of Int. Rates, improve the monetary policy transmission mechanism.

As said earlier, the move comes a day after Draghi expressed the possibility of more QE/rate cut in December. It remains to be seen how long the Fed and the BOE stand on the other side of the fresh race to loosen the monetary policy.
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Source:: FX Street