China’s overnight money-market rate climbed by the most in eight weeks as banks hoarded funds to meet quarter-end regulatory requirements.
Asian stocks were little changed, with the regional benchmark gauge swinging between gains and losses, as Hong Kong shares sank.
Hong Kong stocks slumped, with the benchmark index reversing gains to head for the lowest close in a month, as phone companies and developers dropped.
China said it will cut the reserve requirement ratio for some of the nation’s banks, the government’s latest step to support growth in the world’s second-biggest economy.
China’s corporate borrowing costs are falling the most since the global financial crisis as the central bank eases monetary policy to revive bond issuance and spur a flagging economy.
China’s economy is moving in tandem with credit expansion and the government needs to increase social financing if it wants to revive growth, according to China International Capital Corp.
Vietnam and China traded barbs over the sinking of a Vietnamese fishing boat, their most serious bilateral standoff since 2007 as China asserts its claims in the disputed South China Sea.
Walt Disney Co. had little trouble raising money for its $4.4 billion Shanghai theme park after winning approval in 2009, as a dozen Chinese banks offered $2 billion of loans and promised more.