Sun, January 29, 2023

China’s Benchmark Lending Rate and its Impact on the stocks

Stocks and main factors

On Wednesday, stocks across Asia were mixed as they reacted to the news connected with the world’s second-largest economy. China made the decision to keep the benchmark lending rate.

Importantly, mainland Chinese stocks fell on May 20. The Shanghai Composite fell 0.51% to end its trading day at around 2,883.74. At the same time, another index Shenzhen Composite dropped 0.94% to 10,948.48.

Also, the Hong Kong Hang Seng Index fell 01.% as of its final hour of trading.

In Japan, the Nikkei 225 added 0.70% to close at 20,595.15. In the meantime, the Topix index rose 0.58% to end its trading day at 1,494.69.

South Korea’s Kospi index gained 0.46% to close at 1,989.64.

Moreover, Australia’s S&P/ASX 200 advanced 0.24% to 5,573.

Stocks on May 20 Stocks and lending rate

As stated above stocks reacted to the news that came from China. The country’s central bank made the decision not to change the 1-year loan prime rate (LPR). It still stands at 3.85%. Moreover, the 5-year LPR stood pat at 4.65%.

Moreover, investors are closely monitoring the situation to learn more about the potential coronavirus vaccine. A biotechnology company from Massachusetts became the first company to release the data regarding the human vaccine trials. According to the company, all participants developed antibodies. This news helped to boost the stocks earlier in the week.

Also, oil prices were mixed in the afternoon of Asian trading hours. For example, international benchmark Brent crude futures rose slightly to $34.68 per barrel. Moreover, U.S. crude futures fell 0.28% to $31.87 per barrel.

Countries, especially with the biggest economies in the world, should try not to create additional problems for the global economy. Moreover, the U.S. and China should try to deescalate the situation as soon as possible. Hopefully, U.S. Japan, Germany, and other countries are ready to spend hundreds of billions of dollars to tackle the problems created by the coronavirus crisis.

YOU MAY ALSO LIKE

Oil might reach $150 per barrel as OPEC+ will control supply

The biggest oil and gas companies are prepared to report annual profits,

Sterling declined on Thursday. What about Euro and Dollar?

Sterling fell slightly on Friday but was still close to its highest

Nokia Beats Exceeds Earnings Predictions

Nokia Oyj’s earnings topped expectations. Even amid a worse macroeconomic backdrop, as

COMMENTS

Leave a Comment

Your email address will not be published. Required fields are marked *

User Review
  • Support
    Sending
  • Platform
    Sending
  • Spreads
    Sending
  • Trading Instument
    Sending

BROKER NEWS

OANDA Japan: No More fxTrade, USD/JPY Margin Shift

On Friday, one of Japan’s longest-standing online forex and CFD brokerages, OANDA Corporation, announced major changes to their service.  Specifically, the Japanese subsidiary of the brokerage will no longer allow new downloads of

BROKER NEWS

Broker News

OANDA Japan: No More fxTrade, USD/JPY Margin Shift

On Friday, one of Japan’s longest-standing online forex and CFD brokerages, OANDA Corporation, announced major changes to their service.  Specifically, the Japanese subsidiary of the brokerage will no longer allow new downloads of its