China’s monetary policy just got even harder to follow. For years, the nation’s central bank had set commercial banks’ deposit rates, along with a floor for lending rates -- creating a subsidized system that channeled savers’ cash into state-guided borrowing. That’s now gone, with a Friday announcement abolishing the deposit ceiling, two years after the People’s Bank of China ended the lending-rate lower limit. The moves are part of a broader shift from a tightly regulated system where the PBOC conceived policy with quantitative outcomes in mind -- such as the amount of new loans extended each month -- to one where ... (full story)