China Tasa De Interés

The People's Bank of China (PBoC) maintained its key lending rates steady for the ninth straight month at the May fixing, as widely expected. The one-year loan prime rate (LPR), which is the medium-term lending facility used for corporate and household loans, was left unchanged at 3.65%; while the five-year rate, a reference for mortgages, was kept at 4.3%. The move came after the central bank held its medium-term policy rate at 2.75% last week. Also, the yuan weakened past the key threshold of 7 in both onshore and offshore trading after data showed factory output, retail sales, and fixed-asset investment all grew at a slower pace in April than economists forecast. At the same time, the yield gap between China's benchmark 10-year government bonds and their US counterparts is hovering at the widest level in two months.