China’s central bank unexpectedly reduced its key policy interest rates to bolster an economy that’s facing fresh risks from a worsening property slump. The yuan and bond yields slumped.
The People’s Bank of China lowered the rate on its one-year loans — or medium-term lending facility — by 15 basis points to 2.5% on Tuesday. All but one of the 15 analysts surveyed by Bloomberg had predicted the rate would stay unchanged.
