The market rate pricing self-regulatory mechanism, established under the guidance of the People's Bank of China, has recently lowered the upper limit of bank deposit rates, Reuters reported, citing sources.The cuts to fixed deposit rates were generally steeper than previously posted rate reductions, with some banks seeing decreases of 30-40 bps, indicating that regulators are striving to stem the rapid deterioration of banks' net interest margins (NIMs).Related NewsDBS Raises ABC's TP to HKD5.3; Growth Trend Better Than PeersChina's economy is under pressure due to weak consumer demand, the ongoing real estate crisis, and the US-China trade war, all of which are challenging banks' profitability at the same, according to the report.One source revealed that the self-imposed cap on one-year and two-year fixed deposit rates at their bank was reduced by 30 bps, while the cap for three-year fixed deposits was trimmed by 40 bps. After the adjustment, fixed deposit rates now range from 1.4-1.9%, while the posted rates for one-year, two-year, and three-year fixed deposits at the bank have been reduced by 15-25 bps.