Reported 3 months ago
Concerns about another interest rate hike by the central bank led to a rise in interest rates, with the weighted average interest rate for the 2-year fixed deposit reaching 1.487% on July 17, 2024, the highest level for the same period since February 2004. The increased rate attracted 653 billion yuan in bids, with a bid-to-cover ratio of 2.61 times, showing market expectations that the central bank will not cut interest rates further. Despite fears of unexpected rate hikes, if the Fed starts cutting rates, the pressure on the central bank to raise rates may ease.
Source: YAHOO