China’s central bank announced the loan prime rate (LPR) for May on Wednesday. The rate held steady from the previous month, suggesting a temporary pause in the PBoC’s easing cycle. The PBoC does not set the LPR – it is calculated as an average of bids submitted by 18 banks each month. That said, the PBoC influences the LPO by moving the base rate. In recent weeks, several central bank officials have noted that the base rate to the published LPR has markedly improved.