In a significant monetary policy shift, China has cut benchmark lending rates for the first time since October, aiming to stimulate its economy amid ongoing trade tensions with the U.S. Major state banks have also reduced deposit rates, reflecting a strategy to bolster consumption and loan growth. As officials navigate a challenging economic landscape, questions arise about the effectiveness of these measures in achieving growth targets.
Asia-Pacific markets saw a significant rise on Tuesday following China's decision to cut its key lending rates to stimulate economic growth amidst ongoing trade tensions. Investors are keenly observing the developments.
China's central bank has kept its loan prime rates steady, focusing on stabilizing the yuan amid U.S. trade tensions. Despite positive economic data, deflation raises concerns.
