China is open to buying more bonds of indebted euro-area nations as part of a strategy to bolster the European Union economy and diversify away from investments in U.S. debt, China’s ambassador to the EU, Song Zhe, said.
China has little room to raise interest rates, said Ba Shusong, deputy director-general of the Financial Research Institute at the State Council’s Development Research Center, according to the Shanghai Securities News.
China may use capital requirements for developers as a policy tool to cool the property market, Ba Shusong, deputy directory general of the State Council’s Development Research Center, told Shanghai Securities News in an interview.
Wealthy Chinese investors are turning to “sunshine” private trusts, the prototypes of hedge funds in the communist nation, as the property market cools, stocks slump and bank-deposit rates fail to match inflation.
Asian stocks dropped, dragging the MSCI Asia Pacific Index lower for the third time in four days, as concern deepened China’s steps to cool its property market will curb growth in the world’s third-largest economy.
China’s fourth-quarter economic growth could be at about 8 percent, China Business News reported today, citing Ba Shusong, deputy head of the financial institute of the State Council’s Development Research Center.