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UPDATE 2-China takes axe to interest rates to prop up growth (1.08%)
Reuters ^ | 11/26/08 | Zhou Xin and Eadie Chen

Posted on 11/26/2008 4:17:07 AM PST by TigerLikesRooster

Wed Nov 26, 2008 5:38am EST

(Adds details, reaction)

By Zhou Xin and Eadie Chen

BEIJING, Nov 26 (Reuters) - China slashed interest rates on Wednesday for the fourth time since mid-September, dramatically stepping up the pace of monetary easing to cushion the blow of global financial turmoil on the world's fourth-largest economy.

The People's Bank of China (PBOC) cut benchmark rates for one-year loans and deposits by 1.08 percentage points, lowering the cost of one-year borrowing to 5.58 percent and the rate on 12-month certificates of deposit to 2.52 percent.

"China is out to save itself here. The rest of Asia is strong, but all policy makers in the region and on the planet need to take their own steps. China is showing good leadership by what it has done," said Patrick Bennett, Asia foreign exchange and rates strategist with Societe Generale in Hong Kong.

The cut in the lending rate was the biggest since October 1997; that in the deposit rate was the biggest since June 1999.

(Excerpt) Read more at reuters.com ...


TOPICS: Business/Economy; Foreign Affairs; Front Page News; News/Current Events
KEYWORDS: china; ratecut

1 posted on 11/26/2008 4:17:07 AM PST by TigerLikesRooster
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To: TigerLikesRooster; PAR35; bamahead; AndyJackson; Thane_Banquo; nicksaunt; MadLibDisease; ...

Ping!


2 posted on 11/26/2008 4:17:30 AM PST by TigerLikesRooster (kim jong-il, chia head, ppogri, In Grim Reaper we trust)
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To: TigerLikesRooster

“Ping!”

Was he the guy that cut the rates?


3 posted on 11/26/2008 4:20:04 AM PST by Londo Molari
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To: TigerLikesRooster
In previous three occasion, Sept. 15, Oct. 8, and Oct. 30, the rate was lowered by 0.27% each.

Since Sept. 15, the total rate reduction is 1.89%.

4 posted on 11/26/2008 4:25:28 AM PST by TigerLikesRooster (kim jong-il, chia head, ppogri, In Grim Reaper we trust)
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To: TigerLikesRooster

Yes, Yes, and it was generous of them to relieve themselves of the 6.66% burden weighing on their economy like the devil!


5 posted on 11/26/2008 7:04:59 AM PST by CRBDeuce (here, while the internet is still free of the Fairness Doctrine)
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