China Gives Markets Break as Deleverage Fever Begins to Ease
- PBOC monetary report shows little bias for more tightening
- Central bank doesn’t want to squeeze too much: StanChart
A man walks past the People's Bank of China (PBOC) headquarters in Beijing, China.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
China’s embattled investors may be finally catching a break.
After spearheading a deleveraging campaign that wiped some $500 billion from local stocks and debt, the central bank boosted cash injections this week and provided more seven-day funds, the cheapest form of financing it offers. A quarterly report from the People’s Bank of China late Friday signaled that officials see little need to drive interbank rates any higher, and they’ve refrained from increasing borrowing costs since mid-March.