Asian stocks slip as China rate cut disappoints
, which is used to determine mortgage costs, was left unchanged. Analysts had forecast an at least 15 basis point cut in both rates.
The move indicated that Asia’s largest economy has limited headroom to keep loosening monetary policy, which bodes poorly for the country as it struggles with a slowing post-COVID recovery. The LPR was already at its lowest level seen in data dating back to 2013, after a series of cuts over the past year.
Still, losses in Chinese stocks were somewhat limited by the China Securities Regulatory Commission proposing more steps to stabilize the stock market. Chinese indexes were trading close to their weakest levels for the year.
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