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Glencore shares exploded almost 10% on the Chinese rate cut

Ben Moshinsky   

Glencore shares exploded almost 10% on the Chinese rate cut
Finance1 min read

The reaction to the Chinese rate cut has been immediate.

Just look at shares in Glencore go. The company has been hit in recent months by crashing commodities prices and slowing Chinese demand.

The shares jumped almost 10% on news the Chinese central bank cut rates.

Here's what that looked like:

Glencore Oct 23

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The shares dropped back to a gain of 5% as of 12:44 p.m.UK time.

The People's Bank of China just cut interest rates to combat the country's slowing economic growth and sluggish inflation.

The reserve requirement ratio (RRR) was cut by 0.5 points. The benchmark interest rate was cut by 0.25%. Shares in mining companies spiked.

Here's the reaction from the FTSE 350 Mining Index benchmark:

FTSE 350 mining

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