UBS On-Air: Market Moves
UBS On-Air: Paul Donovan Daily Audio 'Inevitable, but what does it change?'
22 Jul 2024
The decision of the People’s Bank of China to cut rates by 0.1 percentage point was perhaps inevitable—even on official data, the domestic economy is lethargic. Does a small change in borrowing costs really alter anything? Arguably, China is not constrained by the cost of credit. This is a signal of policymakers’ concerns over economic growth, and perhaps represents a downpayment on future action.
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