October 25, 2024 at 04:01AM
Chinese media outlet Global Times with a summary of cuts that came into effect today:
many Chinese banks, including Industrial and Commercial Bank of China and Agricultural Bank of China, have cut some of their existing mortgage rates
Mortgage rates that currently exceed loan prime rate (LPR)-30 basis points (BP) will be reduced uniformly to LPR-30BP
After the adjustment, the average reduction in mortgage rates for existing home loans is around 0.5 percentage points.
The move is expected to benefit 50 million households, or a population of 150 million, and reduce the total interest expenses for households by approximately 150 billion yuan ($21.05 billion) per year on average.
That is not ‘flood like’ stimulus by any means – and we’ve been told over and over that the prospect of that again is basically zero. But, these cuts, for so many households, are significant.
This article was written by Eamonn Sheridan at www.forexlive.com.