China’s central bank unexpectedly cut the rate on reverse repurchase agreements by 20 basis points on Monday, the largest in nearly five years, as authorities ramped up steps to relieve pressure on an economy ravaged by the coronavirus pandemic. The People’s Bank of China (PBOC) announced on its website that it was lowering the 7-day reverse repo rate CN7DRRP=PBOC to 2.20% from 2.40%, but it did not give a reason for the move. Ma Jun, a central bank adviser told state media that China still has ample room for monetary policy adjustment and the rate decision took into consideration the return of Chinese companies to work, the global virus situation and a deterioration in the external economic environment. It was the third cut in the 7-day rate since November, and comes as the coronavirus infections in China – where the outbreak originated late last year – […]