Wednesday, February 28, 2007

Chinese Economy Update

China's shares market plunged dramatically yesterday, with a market value loss of 1 trillion yuan. But a powerful rebounding recovered the index by 109 points today.

Apart from the rumors that stuck down the market yesterday, underground private funds are considered a major force that have been sell off shares after profit taking.

It's noteworthy that China's economic influence over the global economy is increasing remarkabley. The ripple effect of yesterday's market setback in China has caused declines of major stock markets around the globe, including New York, London, Tokyo and Toronto. Pessimistic market watchers warn that financial risk is accumulating quicly in the world's most populous country and may cause catastrophic economic crisis in the not too remote future . And yesterday's tumble may be just a pre-play of the potential shock.

Monday, February 26, 2007

Chinese Economy Update

  • State Council: housing prices in some cities are still rising too fast, more curbs needed.
  • Beijing is to provide 10 million sq meters of affordable housing and 10 mln sq meters of price-capped homes within 3 years.
  • Carrefour's five stores in Guangzhou in the red, Beijing outlets operating well.
  • Xinjiang boasts proven natural gas deposits of 1.29 tln cu meters, tops all the hydrocarbon producing regions in China.
  • Daily west-to-east gas transmission reaches 36 mln cu meters, up nearly 40 per cent yr-on-yr.
  • Beijing's tourism sector pockets CNY 1.9 bln during the week-long Chinese New Year holiday.
  • China's trade defict in service sector is in a widening trend.
  • Steel industry witnessed record high profit in 2006.
  • Monetary tightening remain central bank's main policy as concerns about excess liquity linger.
  • The three state-run oil giants of China will send deligations to Russia next month in efforts to seek breakthrough in engergy cooperation between the two countries.