China is studying a plan to reduce overcapacity in steel, cement, aluminum and other industries after production increased without effective supervision, the official newspaper of the Communist Party reported today.
China’s manufacturing weakened by more than estimated in July, according to a preliminary survey of purchasing managers that casts further doubt on the government’s ability to meet its annual economic growth target.
China won’t use rare earths as a bargaining chip, said Zhu Hongren, chief engineer of the Ministry of Industry and Information Technology. Zhu said China’s rare-earth exports account for 90 percent of the world total, he said at a briefing in Beijing.
Investors increased bullish bets on China’s currency, pushing yuan forwards to a five-month high, on prospects rising industrial output will help the world’s second- biggest economy meet its growth target this year.
Huaneng Power International Inc.’s U.S.-listed stock is trading at the biggest discount in four months versus Hong Kong, where the stock surged yesterday on prospects an economic rebound will lift electricity consumption.
China’s stocks rallied, sending the benchmark index to its biggest two-day advance since May, as the prospect the government may relax its policy tightening measures spurred gains for the nation’s banks and property companies.
China’s stocks rose for the third time in four days after Premier Wen Jiabao pledged to maintain steady economic growth and U.S. housing data bolstered the outlook for exports to the world’s biggest economy.