Market

China's central bank has issued a directive for financial institutions to begin reducing interest rates on existing mortgages, marking a pivotal step in the country’s efforts to support its struggling economy. This announcement comes as part of broader measures aimed at stimulating growth amid ongoing economic challenges as detailed in a report by Reuters. The report further stated that, the decision to cut mortgage rates is expected to provide much-needed relief to millions of Chinese homeowners who have been grappling with rising living costs and a sluggish property market. The central bank's instruction is particularly timely, given that many families are facing financial strain due to the economic downturn worsened by the COVID-19 pandemic and subsequent lockdowns. According to ...

Europe’s business leaders are warning that a raft of incoming EU legislation will put companies on a direct collision course with laws in China, which could lead to partial “decoupling” of some supply chains. One of the laws bans products made using forced labour and another requires big firms to conduct human rights and environmental audits of their overseas suppliers. Both have been adopted by the European Union but will take effect in 2027 after a three-year grace period. Businesses will be required to prove their suppliers are in line with EU environmental and social standards, and also that there is no forced labour in their supply chains. Companies fear the new rules will put them in the cross hairs of Chinese authorities. The EU Chamber of Commerce in China ...

(Bloomberg) -- Copper rallied back above $10,000 a ton and iron ore broke through $100 after China’s top leaders stepped up efforts to revive economic growth for the world’s largest metals consumer. The price of copper rose more than 2% to a three-month high on the London Metal Exchange after the official Xinhua News Agency reported that China’s Politburo will push for the real estate market “to stop declining” and called for “forceful” rate cuts. That followed a Bloomberg report that China is considering a $142 billion capital injection into the biggest state banks. “They’re trying to restore confidence in their economy,” said Michael Cuoco, head of metals at StoneX Financial Inc. “They’re sending a message to their populace that they understand that there are problems and hardship...