The People’s Bank of China rate setting is a non-event. China’s main policy rate is now the reverse repo rate, currently at 1.4% for the 7-day.
- The 7-day rate serves as a key policy benchmark, influencing other lending rates like the Loan Prime Rates (LPRs). The PBOC uses these open market operations to inject or absorb funds, influencing interbank lending rates.
This article was written by Eamonn Sheridan at investinglive.com.
