China's overnight interbank offered rate took a dive today after hitting a record-high 13.44 percent yesterday, new official data show.
The Shanghai Interbank Offered Rate (SHIBOR) overnight rate, a basic gauge of interbank borrowing costs, plunged 495.2 base points to 8.49 percent today, according to data from the National Interbank Funding Center.
The overnight rate had witnessed a rising trend since the beginning of this month on tight liquidity before hitting record-high 13.44 percent yesterday.
The State Council, China's cabinet, said at a meeting on Wednesday that the government will maintain a prudent monetary policy with a reasonable scale of monetary aggregates.