China Jitters Mount as Easing Calls Echo Across Trading Floors
- Funds are closely watching pending decision on loan prime rate
- Stocks, bonds extended losses after RRR cut failed to impress
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Investors have a clear message to China’s policy makers: more stimulus is needed, and quickly, to reignite a stalled recovery in markets.
The People’s Bank of China decision to give lenders a modest cash boost Friday was met with declines in equities on Monday. And with data showing consumer spending took a dive in March, weighing on sentiment, traders are left waiting to see what policy makers will do with loan prime rates -- key benchmark lending levels -- on Wednesday.