China joined the camp of global central bank easing policy differences or vibrations caused by market

   China's central bank again after a lapse of two and a half lower base interest rates for deposits and loans, and the ceiling on deposit rates widened to 1.2 times the benchmark rate, the heavy hand to promote the interest rate market. Previously, China's central bank refused to widespread monetary easing. The central bank cut interest rates immediately after the release of the draft interpretation, it mentioned the interest rate adjustment is still neutral operation, no need to take strong measures to stimulate the economy, prudent monetary policy will not change.

   Chinese government since April has introduced a variety of micro stimulus steps, and at the end there are signs of speeding up. But the latest HSBC China Manufacturing PMI in November fell or line ups and downs, pointing to weak Chinese manufacturing expansion in the past six months, the momentum stalled. HSBC China Manufacturing Purchasing Managers Index (PMI) data show preview, November PMI fell to a 50, the lowest level since May. Disaggregated data, the output index hit a seven-month low of 49.5, the employment index already 13 consecutive months in contraction zone.Clearly, China's inflation rate pressure is still very strong, the job market also showed further signs of weakening. Weak price pressures and low capacity utilization imply a lack of demand. The real estate market in the coming months and there is still uncertainty in the export sector, economic growth is still facing severe downward pressure, forcing the central bank to introduce more monetary easing measures.

   China's State Council executive meeting held on Wednesday, also noted that the current high cost of financing remains a prominent issue will be further targeted for relief, including increased deposit ratio index elasticity, self-regulatory mechanism to establish a market interest rate pricing and other 10 aspects of measures to promote innovation entrepreneurship, promote people's income increased. Only separated by one day, China's central bank announced that the asymmetric cut interest rates. As of November 22 日 (周六) onwards, the one-year benchmark lending rate down 0.4 percentage points to 5.6%; year benchmark deposit rate by 0.25 percentage points to 2.75 percent.

   Although China has cut its benchmark interest rate needs to cut interest rates also make this global financial markets by surprise. After the announcement commodity currencies, the New Zealand dollar, gold and precious metals & P index showed rapid fluctuations. Commodities, LME three-month copper was up 0.7% to $ 6710 per tonne.

   Currently, easing Britain and more successful, the economy is lead into the higher speed the recovery phase of growth, and the market is expected between the two countries and the central bank will begin tomorrow; and QE practices in Japan and the euro area was not very successful, the economy is always no shadow of deflation. ECB president is repeatedly said that if inflation is too revealing too low formaintaining lasting signs ECB is ready to expand the size of the asset purchase measures.

   Same as the BRIC countries of Brazil, in the Oct. 30 raised its benchmark interest rate 25 basis points to 11.25 percent. In emerging markets, the Brazilian economy should be regarded as one of the worst, by the end of August data showed manufacturing in Brazil and a serious decline in investment in the second quarter GDP fell 0.6% annualized, in the first quarter was revised down 0.2 annualized %, indicating that the Brazilian economy has been in recession since the financial crisis, this is the first time. Brazil's inflation rate has been above the official target of 6.5%. In response to the devaluation of the ruble, Russia's central bank announced on October 31 to raise interest rates 150 basis points to 9.50 percent. India's central bank at the beginning of January 28 raised its benchmark interest rate 25 basis points to 8% to maintain the level of interest rates.