China's State Banks Slash Deposit Rates to Stimulate Economy

China's biggest state banks, including Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, and China Construction Bank, have cut interest rates on yuan deposits, which could ease pressure on profit margins and reduce lending costs. This is the second such cut within a year, with previous action taken in September. The move is expected to push savings into consumption and investment and ease the pressure on banks' net interest margins, opening the door for further monetary stimulus.