Sunday, May 27, 2007

China's Stock Index Breaches 4,000 for First Time After Doubling This Year

(Bloomberg) -- China's CSI 300 Index rose above 4000
for the first time, driven by a surge in new investors who are
ignoring warnings of a bubble to enter a market that's doubled
this year. China Merchants Bank Co. paced the gain.

``There is lots of liquidity flowing into the market,'' said
Fan Dizhao, who helps manage about $1.8 billion at Guotai Asset
Management Co. in Shanghai. ``Even fund mangers dare not sell
their shares at this stage, as no one knows when the rally will
be over.''


Read more at Bloomberg Stocks News

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