PBOC Likely To Guide Down LPR In H2-Daily

The People’s Bank of China may further guide down the Loan Prime Rate, mainly the five-year one, in the second half of the year to help boost housing mortgages and stabilise market expectations, the Securities Daily reported citing analysts. The PBOC will also use structural monetary policy tools, such as issuing additional re-lending tools for industries affected by the pandemic, the newspaper said citing Ming Ming, chief economist of CITIC Securities. The PBOC may also increase loan support for private enterprises faced with the dilemma of closing down or reducing production which in turn causes supply chain interruptions, the newspaper said citing Ming.