Minsheng Bank's chief economist Wen Bin stated that the reason for the June LPR quote remaining stable was mainly due to: first, the June MLF rate remained unchanged, and the pricing basis for the LPR quote did not change. Second, the net interest margin of commercial banks continues to narrow, and there is no short-term space for lowering the LPR quote. Third, some loan interest rates are already low, and keeping the LPR quote unchanged is also aimed at preventing empty turnover and improving efficiency. Wen Bin predicts that in the short term, policy rates will remain stable, but in order to reduce financing costs and maintain the stability of bank net interest margins, deposit rates still need to be further lowered, which may be implemented as early as the mid-year to third quarter, thereby creating some downward space for subsequent LPR quotes. In addition, combined with internal and external factors, the conditions for the implementation of policy rate cuts are gradually accumulating, and the window is expected to open in the third quarter.