![PBOC Dispels Fears of Policy Tightening in a Reassuring Tone of Economic Stability](https://forextraders.guide/wp-content/uploads/2021/06/PBOC.png)
Source: Bloomberg
The People’s Bank of China is noticing more stability and improvement in the economy despite persistent domestic and global risks.
CSI 300 is down -1.17%, USDCNY is up +0.17%.
![PBOC vs FED](https://forextraders.guide/wp-content/uploads/2021/06/PBOC-Dispels-Fears1-1024x576.png)
- The statement by China’s central bank shifts from its first quarter tone when it said the growth was unbalanced.
- The reassuring policy tone by PBOC dispels some fears of policy tightening, with the central bank maintaining its stance to keep the policy, exchange rate, and liquidity steady.
- PBOC said it will be keeping an eye on the international policy environment to avert “external shocks.”
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