CHINA LATEST MASSIVE STIMULUS AND RATE CUTS

$CapLand China T(AU8U.SI)$  

$CityDev(C09.SI)$  

$BYD COMPANY(01211)$  

$BABA-W(09988)$  

$TENCENT(00700)$  

Beijing cuts RRR and policy rates as US tariff war hits

China’s major financial regulators have announced more measures to shore up the economy and markets as the trade war's impact ramps up

Officials have announced a whole basket of new policies just now, which we will feed through gradually in the coming moments.

The first of these from China’s central bank includes lowering the mortgage rate by 25 basis points and setting up a new 500 billion yuan relending tool to support service consumption and elderly care services.

China plans to raise its funding for technological innovation by 300 billion yuan, pushing the total financing limit to 800 billion yuan.

The People’s Bank of China will also cut the 7-day repo rate by 10 basis points, according to Pan.

That is three rate cuts announced already, a sign that Beijing is taking firmer action as the trade war’s impact begins to be felt across the Chinese economy.

China’s central bank governor has announced a 0.5-point cut in the reserve requirement ratio (RRR) rate for commercial banks to provide more liquidity amid the trade war.

The bank will also cut its policy rate by 0.1 percentage points, according to Pan.