Friday, June 8, 2007

China Money: Minor flows to bonds as stocks cool

(Reuters) - But if it becomes clear the stock market has temporarily stalled, some traders estimate mutual funds, which control about 700 billion yuan , could divert as much as 10 percent of that amount into government bonds by the end of 2007.




Insurers could also step up investment in longer-term bonds, while banks could have more funds to put into bonds as disillusioned stock investors returned some of their money to longer-term savings deposits.


Read more at Reuters.com Business News

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