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MNI: China LPR To Hold In Aug, More Easing Eyed - Economists

China's LPR will likely hold next week with easing to start in September.

MNI (BEIJING ) - China’s Loan Prime Rate will likely hold steady next Tuesday amid an unchanged 7-day reverse repo rate, but sluggish credit demand and soft economic performance will likely push the central bank to ease later this year, economists told MNI.

The Loan Prime Rate will likely hold at 3.35% for the one-year maturity and 3.85% for the over five-year tenor next Tuesday. Both rates unexpectedly fell last month by 10 basis points after the central bank lowered the 7-day reverse repo rate by the same level. (See MNI PBOC WATCH: PBOC Cuts 7-Day Rate As Reconfigures Framework )

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MNI (BEIJING ) - China’s Loan Prime Rate will likely hold steady next Tuesday amid an unchanged 7-day reverse repo rate, but sluggish credit demand and soft economic performance will likely push the central bank to ease later this year, economists told MNI.

The Loan Prime Rate will likely hold at 3.35% for the one-year maturity and 3.85% for the over five-year tenor next Tuesday. Both rates unexpectedly fell last month by 10 basis points after the central bank lowered the 7-day reverse repo rate by the same level. (See MNI PBOC WATCH: PBOC Cuts 7-Day Rate As Reconfigures Framework )

Keep reading...Show less