China made no changes to its benchmark rate, surprising many. Questions are being asked as to whether it will end the Reserve Requirement Ratio (RRR) cut cycle in 4Q19, writes Iris Pang – Economist Greater China at ING. Key Quotes: We will have a clearer answer from the central bank in 4Q19 as we expect that the PBoC will cut RRR by 0.5 percentage point even if there is a “phase one deal” released in November. The Chinese economy has suffered from a long trade war (since March 2018), and the cumulative damage has been increasingly obvious when you look at the data. For example, smartphone production was down on a yearly basis in September. An RRR cut is therefore expected to put downward pressure on interest rates. This will help both the public sector to finance infrastructure projects and the private sector to reduce interest costs. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next UK Chief Treasury Secretary Sunak: Government will introduce Brexit legislation shortly FX Street 3 years China made no changes to its benchmark rate, surprising many. Questions are being asked as to whether it will end the Reserve Requirement Ratio (RRR) cut cycle in 4Q19, writes Iris Pang - Economist Greater China at ING. Key Quotes: We will have a clearer answer from the central bank in 4Q19 as we expect that the PBoC will cut RRR by 0.5 percentage point even if there is a "phase one deal" released in November. The Chinese economy has suffered from a long trade war (since March 2018), and the cumulative damage has been increasingly obvious when you… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
