Asian shares end higher as losses in China eased after PBOC rate cut

Asian shares ended higher on Friday, as losses in Chinese stocks eased after the People’s Bank of China (PBOC) cut key interest rates to bolster slowing economic growth. The MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.29% to 513.22. Hong Kong’s Hang Seng index advanced 0.84% to 21,323.08, while the Shanghai Composite index declined 0.91% to 3,270.33. China’s central bank unexpectedly cut its one-year loan prime rate (LPR) by 10 basis points to 3.65%, and its five-year LPR by 5 basis points to 4.30% on Friday. The move was aimed at lowering borrowing costs for businesses and households and supporting the economy amid a property downturn and COVID-19 lockdowns. Chinese stocks initially fell following the rate cut, but losses narrowed as investors weighed the potential boost to economic growth against concerns over slowing demand and a regulatory crackdown on the tech sector. .

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