China cuts mortgage reference rate again, seeking to revive credit By Reuters

SHANGHAI (Reuters) – China cut its benchmark reference rate for mortgages by an unexpectedly wide margin on Friday, its second cut this year as Beijing seeks to revive credit demand to prop up the economy.

Senior officials have pledged further measures to fight a slowdown in the world’s second-biggest economy, hit by COVID-19 outbreaks that prompted stringent measures and mobility restrictions, causing huge disruptions to economic activity.

Many market participants believe Friday’s move was also a response to Premier Li Keqiang’s call to decisively step up policy adjustments and strive to let the economy return to the normal track quickly.