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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory
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To: ild who wrote (18809)9/21/2004 11:52:33 AM
From: SeaViewer  Read Replies (1) of 110194
 
In China food price increased significantly last month. The government raised rice price by 60-80% (it is controled by government). As the result vegetable price went up 80%, meat price up 40%, egg price up 80%, etc. A lot of low income families are having hard time.

In terms of propreties, most locals in Shanghai cannot afford. The local government is trying to attract Chineses from Taiwan, Hongkong, or oversee to buy. Some of them are buying because they think housing price is always going up. If they try to rent out, they can get 5% return on their purchase price. And that is before depreciation and other cost.
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