China’s central bank cut its interest rates on Monday for the second time this year, but analysts suspect it will do little to spur lending in an economy awash with cash but lacking in consumer demand and business confidence. read more
The People’s Bank of China (PBOC) lowered the rate on its one-year and 7-day lending facilities by 10 basis points after a string of data for July painted a gloomier economic picture than previously.
Housing prices fell. Property investment also sank and new construction was weak.
China’s retail sales grew 2.7% in July, compared with 3.1% in June, pointing to slowing consumer spending.