The People’s Bank of China (PBOC) injected 200 billion Yuan from its medium-term lending facility (MLF) on Tuesday but kept the one-year lending rate unchanged at 3.3%.
A batch of such loans – worth 265 billion yuan matures today. Meanwhile, a batch of seven-day reverse repurchase agreements, worth 80 billion yuan, also matures on the day.
The Chinese central bank kept MLF rate unchanged, reflecting an inclination to avoid loosening monetary policies too much, Reuters reports.
This combined with dovish RBA minutes and downbeat Chinese housing data added to the fresh leg lower in the AUD/USD pair that now trades below the 0.6850 barrier.