Facing with an economic slowdown of their own, China’s central bank suggested that further interest rate cuts may come in the next few months. This announcement is just the latest signs of economic turbulence. Just last year, the Chinese government was raising rates to control inflation as prices soared. Now, with stagnant global demand, China is forced to take measures to encourage investment.
Should the rate cuts occur, the infusion of capital should help vinyl glove manufacturers maintain cash flow and provide more generous payment terms to US suppliers.
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China Set to Cut Interest Rates Drastically
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