PBOC is unlikely to alter LPR but may rolling over medium-term loans – Reuters poll

The People’s Bank of China (PBOC) is unlikely to deliver a second consecutive cut to its lending rate, a Reuters poll of 22 financial institutions.

Key findings

“Nineteen out of 22 financial institutions surveyed said they expect the People's Bank of China (PBOC) to issue 200-billion-yuan ($31.45 billion) in maturing medium-term lending facility (MLF) loans on Tuesday, matching the amount maturing on Friday.”

“The remaining three said they expect issuance to slightly exceed the value of loans maturing this week as an indication of the PBOC's easing stance.”

“All survey respondents said they expect the MLF rate to remain stable”.