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China's Central Bank Injects $23.4 Billion as Yuan Intervention Drains Funds

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Chinese Stocks Extend Biggest Fall Since 1996

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China’s central bank injected the most funds via open-market operations in six months and cut lenders’ reserve ratios, adding cash as it buys yuan to prop up the exchange rate and tries to arrest a stock-market slide.

The People’s Bank of China also reduced the one-year lending and deposit rates by 25 basis points each to 4.6 percent and 1.75 percent, respectively. The authority earlier auctioned 150 billion yuan ($23.4 billion) of seven-day reverse-repurchase agreements, more than the 120 billion yuan that matured. In addition, it gauged appetite for loans under its Medium-term Lending Facility, after extending 110 billion yuan last week.