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CHINA PRESS: PBOC Likely To Cut RRR In Q3 - Analysts

CHINA PRESS

The People’s Bank of China will likely cut the reserve requirement ratio in Q3 to support the accelerated issuance of government bonds since August and help ease increased liquidity pressure in mid-September as the medium-term lending facility operation has been delayed to around the 25th of each month from the 15th, China Securities Journal reported citing Li Chao, chief economist at Zheshang Securities. The expected Fed rate cut would open room for the PBOC to ease, as there is an urgent need to increase countercyclical adjustments in real estate, the newspaper said citing Yi Huan, chief macroeconomist at Huatai Securities.

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