China raises market rates to fend off financial risks; growth moderates

Beijing

CHINA'S central bank on Thursday nudged up money market rates as authorities sought to defuse financial risks without imperilling the economy, a balancing act that they have managed successfully so far this year as activity remained broadly steady.

The world's second-biggest economy has started to cool in recent months amid a government crackdown on high-risk lending and polluting factories, and the move by the People's Bank of China (PBOC) - coming hours after an anticipated US Federal Reverse rate hike - signalled that Beijing will keep policy tighter next year.