For example, when the PBOC cut its benchmark interest rate last November, in order to help reduce private-sector borrowing costs, it triggered a speculative stock-market boom. Following January's disappointing macroeconomic data, the PBOC acted again, by lowering the reserve ratio for banks by 50 basis points, with additional cuts for banks focused on small and medium-size enterprises (50 basis points) and for the Agricultural Development Bank of China (400 basis points).