China kept its one-year and five-year LPRs unchanged at 3.1 and 3.6% respectively. The move, which follows a 25-basis-points rate cut by the U.S. Federal Reserve earlier in the week, was expected, according to a Reuters poll of economists.

Yield differentials between China and the U.S. hit their widest in 22 years this week, dragging the yuan to its weakest in over a year, despite a Federal Reserve interest rate cut

China left its benchmark lending rates unchanged as expected at the monthly fixing on Friday. WHY IT'S IMPORTANT Persistent deflationary pressure and tepid credit demand call for more stimulus to aid the broad economy,

The benchmark loan prime rates remained unchanged in China, extending a hold for a second month after a reduction in October.

People's Bank of China kept its key lending rates steady for the second straight month during its December fixing, as widely expected. The one-year loan prime rate (LPR), the benchmark for most corporate and household loans,