(task) China central bank cuts benchmark interest rates - FT.com

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> China central bank cuts benchmark interest rates
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> ©AFP <http://www.ft.com/servicestools/terms/afp>
> China’s central bank has unexpectedly cut benchmark interest rates for the fourth time since November, and lowered the amount of reserves certain banks are required to hold, in apparent response to Friday’s stock market slump.
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> The People’s Bank of China said on its website on Saturday that the one-year lending rate would be reduced by 25 basis points to 4.85 per cent effective from June 28 and the one-year deposit rate would fall by 25 basis points to 2 per cent.
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> Reserve ratios for some lenders will be cut by 50 basis points.
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> Chinese stocks suffered one of their biggest one-day declines <http://www.ft.com/cms/s/0/f01e0fc0-1bce-11e5-8201-cbdb03d71480.html> on Friday. The Shanghai Composite sank 7.4 per cent, wiping hundreds of billions of dollars off the total market capitalisation of the index.
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> The market has reversed 18.8 per cent from its June 12 high, although it is still up almost 30 per cent in the year to date.