WHAT TO WATCH: China cut its benchmark lending and deposit rates for the first time since 2008. The BOE kept its benchmark rate at 0.5 percent and held its ceiling for bond purchases at 325 billion pounds. Spain sold 2.07 billion euros of bonds, meeting its maximum target, as its 10-year borrowing cost rose. France sold 7.84 billion euros of debt at decade-low yields. U.K. service industries unexpectedly maintained their pace of growth in May. European policy makers are fighting a “complete lack of confidence” in their ability to resolve the crisis, Fitch Ratings President Paul Taylor said.

ECONOMICS: Fed Chairman Ben S. Bernanke testifies to U.S. lawmakers on the economic outlook, 10 a.m. French unemployment rose to 10 percent in the first quarter.

GOVERNMENT: Opposition in German Chancellor Angela Merkel’s government to debt sharing to counter the European crisis is weakening, two of her allies said. Indian Prime Minister Manmohan Singh vowed to revitalize domestic growth as he outlined infrastructure projects and urged officials to bridge differences impeding progress.

COMPANIES: Samsung Electronics named Kwon Oh Hyun, head of the company’s display and chip business, as CEO.

MARKETS: Stocks rose. Saudi Arabia is poised to rein in oil sales after it achieved a $100-a-barrel target. Global food prices fell the most in two years in May.

Source: Bloomberg