PBoC cuts rates as Xi warns against ‘rapid tightening’

Chinese president Xi Jinping
Chinese Communist Party general secretary Xi Jinping

China’s central bank cut one of its policy rates today (January 17) as the country’s leader warned against excessive monetary tightening.  

The People’s Bank of China announced a 10 bp cut on the interest rate charged on 700 billion yuan ($110 billion) worth of medium term lending facility loans, to 2.85%.Hours after it did so, Communist Party general secretary Xi Jinping gave a speech to the World Economic Forum warning against excessively fast monetary tightening.  

Xi’s speech came as China

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