XIN - China's rate cut helps buoy some China real estate stocks

With China's central bank cutting its benchmark for mortgage rates, a number of U.S.-listed Chinese real estate and financial stocks are rising in Friday trading. The People's Bank of China cut its five-year loan prime rate to 4.45% from 4.6%, a move that initially buoyed U.S. stocks early in the session. Separately, Goldman Sachs's Kenneth Ho increased his FY2022 China property high-yield default rate forecast to 31.6% from 19.0% previously, which could be weighing on the sector. China Evergrande (OTCPK:EGRNF), which has been struggling to pay interest on its debt after demand for its homes slumped, is rising 10%. But that's only a small reprieve after the stock lost 90% in the past year. Evergrande peer Country Garden Holdings (OTCPK:CTRYF) shares is gaining 19%. Leju Holdings (LEJU) ADSs jumped 47% in midday New York trading. Note that the company changed its ADS ratio to one ADS representing 10 shares from a 1-to-1 ratio, effective May

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China's rate cut helps buoy some China real estate stocks