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Wednesday, February 2, 2011

China to raise interest rates within month


China will likely raise interest rates again within the month, the New York Times reported on Wednesday, citing a forecast of economists and bankers with knowledge of the thinking of Chinese policymakers.
The Hong Kong-datelined story did not identify its sources, citing the sensitivity of the information.
It also cited the economists and bankers as saying China was unlikely to let the yuan currency appreciate faster anytime soon as a way to fight inflation.
Analysts polled by Reuters saw two more rate rises by the end of the first half.
The median forecast of economists polled by Reuters is for inflation to reach its fastest in more than two years at an annual pace of 5.3 percent for January.

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