China kept its benchmark lending rates unchanged on Friday, with the one-year loan prime rate held at 3.1% and the five-year LPR at 3.6%.

The People's Bank of China's decision comes as it works to stimulate economic growth and support the weakening yuan. The one-year LPR affects corporate and household loans, while the five-year LPR is used for mortgage rates.

This move follows a 25-basis-point rate cut by the U.S. Federal Reserve on Wednesday. The Fed also indicated that it will implement only two interest rate cuts in 2025, fewer than the four previously projected in September.

Read Next:

Tom Lee Explains Why ‘Fewer Cuts In 2025’ Could Boost The Market, Urges Investors To ‘Buy The Dip’ Amid Recent Volatility

Image Via Shutterstock

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.