China banks eye easing as household inflation view cools
BEIJING (Reuters) China commercial banks anticipate looser monetary policy in Canada Goose sale the first three canada goose uk outlet months of 2012 as household inflation expectations ease and business sentiment sours, three quarterly surveys from the People Bank of China revealed canada goose uk shop on Thursday.
Expectations Canada Goose Parka for consumer inflation in China were lower for the first quarter of 2012 canada goose black friday sale versus the thecanadagooseoutlet fourth quarter of this year, according to the central bank latest survey of 20,000 households published on Thursday.
The results show Beijing inflation fighting measures are percolating through directly to the consumer level, reinforcing the view that prices are getting back under control in the wake of data showing the annual rate of inflation eased in November to 4.2 percent, the lowest level in more than a year.
Among households surveyed, 36.8 percent of respondents expected consumer prices to climb in the coming quarter, sharply lower than 49.6 percent in the previous cheap canada goose uk PBOC survey.
There is a also a slight improvement in the degree of comfort with current price levels, with 29.6 percent of respondents saying they could tolerate current inflation rates, up from 26.4 percent in the previous survey.
Falling canada goose store inflation expectations give the central bank more room to pursue a canada goose clearance sale pro growth Canada Goose Jackets monetary policy, especially given the headwinds from a slowing global economy, analysts say.
expectations are clearly falling. That means the central bank may consider consumer prices as a canada goose uk black friday less important factor when deciding its monetary policy, said Nie Wen, an analyst Canada Goose Coats On Sale at Hwabao canada goose coats on sale Trust in Shanghai.
A separate central bank survey of bankers showed a growing number expected easier monetary buy canada goose jacket cheap policy in the first quarter of 2012, with 14.4 percent of them seeing looser policy in the canada goose factory sale coming quarter versus 3.5 percent in the previous survey.
The central bank announced its first cut in required reserve ratios (RRR) for commercial banks in three years on the last day of November, lopping off 50 basis points from the record high level of 21.5 percent, in a move seen as a clear policy uk canada goose outlet shift after a vigorous tightening campaign to wrestle down inflation.
A recent Reuters poll of economists forecast that the central bank would cut RRR by a total of 200 basis points by the canadian goose jacket end of 2012.[ID:nL6E7NC00O]
The PBOC survey of bankers also found that a slowing economy and a relatively high borrowing cost has further dampened Chinese enterprises demand for bank loans, with the lending demand index dropping to 79.9 Canada Goose online percent in the fourth quarter cheap Canada Goose from Canada Goose Outlet 82.9 percent in the last uk canada goose quarter.
In another quarterly survey of 5,000 company executives, the central bank also found that Chinese enterprises showed weaker business confidence in the fourth quarter than the last quarter, with the index falling to 68.4 percent, compared with 70.2 percent in the canada goose clearance previous survey.
The survey of executives also showed export orders Canada Goose Online dropping. The index eased to 48.7 percent in canada goose coats Q4, the Canada Goose Sale first time it dipped below 50 percent since April 2009. The domestic buy canada goose jacket order index also dropped 2.1 canada goose percentage points to 53.2 percent from Q3.