When banks in China cut interest rates last year to boost lending and help the country’s slumping housing market, they set off an unintended wave of home-loan prepayments
HONG KONG—When banks in China cut interest rates last year to boost lending and help the country’sSince last summer, homeowners in the world’s second-largest economy have been paying down their mortgages at a much faster pace than in years past, a
trend that is weighing on banks’ profitability. The behavior is somewhat counterintuitive because mortgage prepayments typically pick up when interest rates are rising—as opposed to falling—when people want to avoid incurring higher future interest costs.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Independence Blue Cross reports sharply lower profits in 2022 as consumers return to their doctorsDaily News | Independence Blue Cross reports sharply lower profits in 2022 as consumers return to their doctors
Read more »
Droughts trimmed cattle herds, now consumers will be paying the priceA slowing economy may lead to a sales decline of pricey beef cuts, but market forces will likely keep hamburger and steak prices steady — and relatively expensive. MORE ⬇️
Read more »
Lending to consumers drops shows Dallas Fed survey after SVB collapseLending to consumers has dropped as banks move quickly to further tighten credit standards after the failure of SVB, Fed survey says
Read more »
Ukraine War and Inflation to Limit Global Trade Growth in 2023, WTO SaysThe war in Ukraine and stubborn inflation around the world are expected to hold back growth in global trade this year, restraining the pace of economic recovery even as the world emerges from the height of the pandemic
Read more »
Lack of Home Listings Is Taking a Toll on Mortgage DemandMortgage rates fell last week, but lack of housing supply is keeping buyers at bay.
Read more »