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China gets more room for monetary easing after Fed’s dovish statement, rate cut still unlikely

The US central bank stood pat on interest rates, as widely expected, and signaled it will not raise them in 2019, creating greater room for China to use monetary easing policy to spur the economy that's growing at the slowest pace in three decades.

It firmed analysts' belief that the People's Bank of China will cut banks' reserve requirement ratio further but the chance for interest rate cut remains slim.

After the Federal Reserve's dovish statement, China's 10-year government bond yield fell 2 basis points to 3.13 per cent on Thursday and the yield . . .

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