The piecemeal approach to China stimulus hasn't impressed the market yet but today's announcements on mortgages have captured more of the market's attention.
The yuan is trading at a two-week high after a series of steps on mortgages.
The PBOC today said existing mortgage rates would be lowered from Sept 25.
The new rules say down-payments for first homes should be no less than 20% and down-payments for second homes no less than 30%. For second home purchases, the rate floor is now no lower than LPR +20bps while on first homes it's LPR -20bps.
The PBOC said lowering existing mortgages rates is beneficial for expanding consumption and investment.
Chinese stocks today wrapped up their worst month since February.
On the surface, these moves should be good for global risk trades but there's also a risk of disappointment that some type of stronger stimulus isn't in the pipeline.