Markets

China stocks' declines will be limited

(Agencies)
Updated: 2011-01-24 13:26

Any decline for China's benchmark stock index will be "limited" as inflation isn't likely to run out of control, Bloomberg reported, citing China International Capital Corp (CICC) analysts.

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The government acted to tame inflation earlier than expected by the market and the increase in reserve requirements and interest rates showed the government's intention to control inflation in an "pre-emptive and gradual" way, analysts led by Hou Zhenhai wrote in a note dated today, according to Bloomberg.