There is a greater possibility of the industry lowering interbank deposit interest rates, helping to reduce the cost of liabilities.
Following the lowering of the posted deposit interest rates and the loan market quote rate (LPR), as well as existing home loan interest rates, the market is now focusing on whether interbank deposit rates will also be lowered. According to Interface News, a person in charge of the financial market department of a small to medium-sized bank mentioned that there is a greater possibility of adjustments, which would directly help banks reduce their costs of borrowing. Earlier reports from domestic media stated that members of the interest rate pricing self-regulation mechanism are planning to issue proposals to standardize the pricing of interbank demand deposits with higher rates. Industry insiders believe that, although they have not yet received formal notifications or documents, it is logical and necessary to lower interbank deposit rates from a chain of reasoning perspective. The self-regulation proposal for interbank deposit business will help maintain.
People's Daily article: A large number of incremental policies are "on the way" to achieve a 5% economic growth target enhancement.
The article by Jin Sheping published in the People's Daily stated that the mainland's confidence in achieving the target of around 5% economic growth is increasing. At the press conference for the 'Three Quarters Report,' the National Bureau of Statistics stated that looking at GDP growth rates by year, the first quarter was 5.3%, the second quarter was 4.7%, and the third quarter was 4.6%. When viewed monthly, the third quarter grew by 0.9%, maintaining positive growth for nine consecutive quarters. 'Stability' and 'progress' remain the main themes of the mainland's economy. The four major macro indicators of growth, employment, inflation, and international balance of payments show that the overall economic indicators are stable with steady progress, providing a good foundation for the mainland's macro economy to maintain resilience. The report quoted,
Brokerage morning meeting highlights: China's semiconductor industry's domestic market demand and self-controllable direction are clear.
At today's brokerage morning meeting, citic sec believes that the domestic market and self-controllable direction are clear development directions for China's semiconductor industry; gtja pointed out that the improvement in domestic demand is expected to continue to heat up, highlighting the elasticity of baijiu; htsc stated that bank performance is expected to stabilize, seizing structural opportunities.
Express News | Members of the self-discipline mechanism under the central bank (banks) discuss regulating the pricing of interbank deposits: including not absorbing interbank funds at high stock prices, to prevent arbitrage.
Pan Gongsheng: steadily promoting the opening up of the financial services industry and financial market systems, expanding the interconnection of domestic and foreign financial markets.
①The fundamentals of the Chinese economy, the broad market, strong economic resilience, and great potential have not changed; ② Continue to adhere to the supportive mmf policy, strengthen communication with the market, and constantly improve the quality and effectiveness of financial services.
Fitch Ratings: Risks in retail crediting are rising for Chinese banks.
Rating agency Moody's stated that due to weakening income prospects and falling property prices, the asset quality of retail loans and loans for inclusive micro and small businesses has come under pressure. Along with the rising risks of real estate-related loans, data for the first half of 2024 shows an increase in non-performing loan ratios for personal operating loans and credit card overdrafts from Chinese banks rated by Moody's. Moody's stated that since 2019, the scale of loans for inclusive micro and small businesses has rapidly expanded under regulatory guidance, reaching 13% of the total industry loans by the end of the first half of 2024. Rural commercial banks have the highest exposure to such loans, believing that these loans are more vulnerable due to the borrowers' income.