China holds key lending rates steady for 17th month after growth rebound

China’s central bank kept its benchmark loan prime rates unchanged in October, with the one-year rate at 3.00% and the five-year rate at 3.50%, extending the pause to 17 consecutive months. The decision followed stronger-than-expected third-quarter growth, driven by exports, which reduced pressure for immediate stimulus. But subdued consumer spending and a prolonged property downturn—including another fall in home prices in September—continue to weigh on the outlook and raise concerns about the recovery’s dependence on external demand. Investors are watching for signals from PBOC Governor Pan Gongsheng about the future direction of monetary policy.