China’s LPR Holds: 1-Year at 3.0%, 5-Year at 3.5%

The hold signals the PBOC is prioritizing stability over further easing, keeping its benchmark lending rates steady even as broader growth concerns persist. This matters most for Chinese corporates and mortgage holders, whose borrowing costs remain anchored to these levels. The open question is whether the central bank shifts toward targeted measures instead of rate cuts, and what that implies for credit demand and the property sector.