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The People's Bank of China is...........>

CHINA PRESS
CHINA PRESS: The People's Bank of China is expected to cut reserve requirement
ratios (RRR) rather than interest rate in the second half of this year, the
Securities Daily reported on Tuesday citing several analysts. The RRR cuts will
likely target medium and small banks, the daily said citing Tao Jin, a
researcher at Suning Institute of Finance. The PBOC will keep open market
operations more effectively linked to the deposit and lending rates so interest
rates can be lowered by countercyclical adjustment, the newspaper said citing
Tao.

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