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Strategies & Market Trends : John Pitera's Market Laboratory

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From: nspolar2/16/2007 1:45:41 PM
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From the newswire:

"China's boom gets scary

Chinese stocks hit a new record in the traditional surge before the lunar new year trading holiday, which will keep the mainland's markets closed next week. Chinese shares doubled last year as millions of investors rushed to grab a piece of the action in the world's fastest-growing economy. (AP in Yahoo! Finance) The government ordered banks to set aside bigger reserves in its fifth attempt in eight months to cool investment by restricting lending. (Bloomberg) Novice investors are maxing out credit cards and even pawning their homes to raise money so they can join the trading frenzy. "If there is opportunity," said one 26-year-old investor, "you have to grasp it." (Los Angeles Times, free registration required)"

Sounds like trouble, but when will it pop?
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