China cuts key liquidity rate for first time since 2015 amid economic woes

The People's Bank of China said on its website that it was lowering the seven-day reverse repurchase rate to 2.50% from 2.55%

China's central bank unexpectedly trimmed a key interbank lending rate on Monday, the first easing in the liquidity tool in more than four years and a signal to markets that policymakers are ready to act to prop up slowing growth.

The People's Bank of China (PBOC) said on its website that it was lowering the seven-day reverse repurchase rate to 2.50% from 2.55%.

The move cheered China's bond market and comes just two weeks after the PBOC cut the borrowing cost on its medium-term lending facility (MLF) loans by the same margin.

Analysts say the unexpected cut on Monday shows the central bank