China's central bank will offer loans with a rate much lower than the benchmark interest rate so financial institutions can buy onshore bonds issued by developers, sources say

Beijing is propping up its slowing economy by keeping money rates low. On Monday China's central bank drained 170 billion yuan on a net basis via seven-day reverse repos

A package of support measures from the PBOC and banking officials was hailed by some analysts as a "turning point" and caused the property index to soar to a 2-month high in morning trading

A source said the group made the move partly because of concerns about a backlash in Washington against bankrolling the Chinese government with US capital, the report said.

The Institute of International Finance said Chinese bond markets have suffered total outflows of $105 billion over nine months, while Chinese stock portfolios lost $7.6bn in October, the most since March.

JPMorgan says 20% of "junk-rated" companies in China and two thirds of them in Russia could default in the coming year

In the six months to October, China's onshore bond funds saw inflows of $73 billion, while equity funds faced outflows of $12.6 billion

Some 14 auditors have severed ties with Chinese property firms listed in Hong Kong this year, which has raised concern about debt-ridden developers that have failed to publish financial results

The debt-ridden developer said it hopes to extend its repayment deadline after "experiencing significant declines in its sales and operations"

Shares in Japan closed at their highest level in nearly seven weeks, while world stocks also hit a five-week high and most Asian currencies also eked out gains after a decline in the dollar index

The downgrade to B2 from B1 came after the Chinese conglomerate said last week its units would sell a combined 60% stake in Nanjing Nangang Iron & Steel United for up to $2.2bn

Securities regulators recently asked fund managers to prevent an excessive proportion of institutional investors in money market funds. At least 20% must be invested in liquid assets.