News Summary: China moves to stimulate economy

AP News
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Posted: Jun 08, 2012 1:07 PM
News Summary: China moves to stimulate economy

INCREASING URGENCY: China cut state-set gasoline and diesel prices for the second time in a month, a day after cutting interest rates for the first time in almost four years. Beijing also took a step to letting the market set rates paid on bank deposits, which could shift more money to households.

EFFECT: The moves are meant to support consumer spending and company investments.

CONTEXT: The government is ramping up efforts to reverse a sharp slowdown in the world's second-largest economy.