PBOC holds rates steady for fourth straight month, despite economic slump

[Abstract creative financial graph interface and world map on flag of China and blurry cityscape background, forex and investment concept. Multiexposure]
Igor Kutyaev

China's central bank has kept its key interest rates unchanged for the fourth consecutive month, during the September fixing, in line with market expectations. The decision leaves the one-year loan prime rate at a record low of 3.0% and the five-year LPR, which is a benchmark for mortgages, at 3.5%.

Both rates were last cut by 10 basis points in May.

The decision to hold rates steady follows last week's move to keep the seven-day reverse repo rate unchanged.

On Monday, the Shanghai Composite [https://seekingalpha.com/symbol/SHCOMP?source=section%3Asearch_bar%7Ccontent_type%3Aall%7Csection_asset%3Asearch-basic%7Csearch_item%3Ashcomp%7Crow_num%3A1%7CURL_first_level%3Anews%7Ctopic%3Asymbol] slipped 0.2% to around 3,810, while the Shenzhen Component edged up 0.1% to 13,080 on Monday, as mainland stocks showed a mixed performance as investors assessed the PBOC’s key lending rate decision, and the offshore yuan [https://seekingalpha.com/symbol/USD:CNY#source=url_first_level%3Amarket-news%7Csection%3Aglobal%7Csection_asset%3Afull_story%7Cbutton%3Abody_link] steadied around 7.12 per dollar on Monday, halting two consecutive sessions of losses.

ETFs: (NYSEARCA:FXI [https://seekingalpha.com/symbol/FXI#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:KWEB [https://seekingalpha.com/symbol/KWEB#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:CQQQ [https://seekingalpha.com/symbol/CQQQ#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NASDAQ:MCHI [https://seekingalpha.com/symbol/MCHI#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:ASHR [https://seekingalpha.com/symbol/ASHR#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:YINN [https://seekingalpha.com/symbol/YINN#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSE:TDF [https://seekingalpha.com/symbol/TDF#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:CHIQ [https://seekingalpha.com/symbol/CHIQ#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:GXC [https://seekingalpha.com/symbol/GXC#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:EWH [https://seekingalpha.com/symbol/EWH#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:KBA [https://seekingalpha.com/symbol/KBA#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:YANG [https://seekingalpha.com/symbol/YANG#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NASDAQ:CXSE [https://seekingalpha.com/symbol/CXSE#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSE:CAF [https://seekingalpha.com/symbol/CAF#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:CWEB [https://seekingalpha.com/symbol/CWEB#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NASDAQ:PGJ [https://seekingalpha.com/symbol/PGJ#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]), (NYSEARCA:KURE [https://seekingalpha.com/symbol/KURE#source=url_first_level%3Amarket-news%7Csection%3Amarket-pulse%7Csection_asset%3Afull_story%7Cbutton%3Abody_link]).

Currency: (CNY:USD [https://seekingalpha.com/symbol/CNY:USD])

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