December 23, 2008
China Bank Rates Cut Again
The People's Bank of China cut interest rates 0.27% today but the expected move was not enough to excite equity markets in Shanghai (the Shanghai Composite Index is back down below 2,000) or Hong Kong.
In related news, Beijing is committed to do more to shore up the property market - believed to be the key sector of China's economy right now and critical to avoiding a hard landing of the Chinese economy is a robust property market. Beijing will fund a massive house building campaign - 1.3 million homes for low-income families - similar in concept to Uncle Sam's house building program in the late 1940s. (Source: Bloomberg)
Labels: banking, china property, panic of 2008
# posted by Sinomania! : 12/23/2008 10:44:00 AM
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