Shanghai Securities News says possibility of a RRR cut in December ...Middle East

Shanghai Securities News cites analysts for the opinion that the People's Bank of China will possibly cut the RRR in December by 25bps-50bpsThey say the MLF yesterday paves the way. I'm not sure of that chain of causation though? ---The Reserve Requirement Ratio (RRR) is a central bank regulation that sets the minimum amount of reserves each bank must hold in relation to their deposit liabilities. Its the percentage of total deposits that banks are legally required to keep on hand, either as cash in their vaults or in a reserve account at the central bank.In China, this ratio is set by the People's Bank of China (PBOC).By adjusting the RRR, the PBOC can influence the lending capacity of comm

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Shanghai Securities News says possibility of a RRR cut in December ...Middle East

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