Tuesday 9 August 2011

Inflation in China in July was higher than expected, despite government efforts to curb rising prices.

Consumer prices last month rose by 6.5 percent compared with prices a month earlier, notify the National Office of Statistics.
The increase comes despite China's Central Bank has raised interest rates five times since October 2010 in an effort to control prices.
Rise in consumer prices has become a hot issue for Chinese policy.
"There is no doubt that inflation is not getting better, seeing the price rise month after month," said the expert subsidiary of Societe Generale, Wei Yao.
For their part, Chinese authorities have stated that control of price increases is their number one priority.


U.S. crisis hits Asian markets
Asian markets were severely shaken due to fears that the United States are directed to a second recession after Wall Street recorded the biggest losses since 2008.

Japanese Nikkei stock index fell by 2.8 percent, for the South Korean Kospi by 5.3 percent and Hong Kong's Hang Sengu with 6 percent. Earlier the U.S. stock index Dow Jones fell by 5.6 percent, despite the efforts of President Barack Obama to calm investors. Another possible recession the U.S. will hit major Asian economies, the top international exports. Even the stock indices of other Asian countries are seeing a decline in value of their lowest levels for many months....Read More