Sunday, May 20, 2007

China Stocks May Fall After Central Bank Raises Interest Rates, Reserves

(Bloomberg) -- Chinese stocks, the world's best
performers this year, may decline after the country's central
bank raised interest rates to cool an investment boom in the
world's fastest-growing major economy.

The CSI 300 Index, which tracks yuan-denominated A shares
listed on the country's two exchanges, has climbed 88 percent in
dollar terms this year, leaving it valued at 35 times estimated
earnings. It's the most expensive of the world's 10 largest
stock markets, according to data compiled by Bloomberg.


Read more at Bloomberg Stocks News

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