SHANGHAI (Reuters) – Chinese taxi drivers trade stocks from their cars via mobile phones, and housewives queue at brokerages with bags of cash.<\/p>\n
SHANGHAI (Reuters) – Chinese taxi drivers trade stocks from their cars via mobile phones, and housewives queue at brokerages with bags of cash.<\/p>\n
But investors have coined a phrase to describe China stock market’s record-breaking bull run: a “rational bubble”.<\/p>\n
Eight months into a rally that boosted the benchmark Shanghai index’s 130 percent last year, the market’s elated mood and lofty valuations would risk a crash elsewhere in the world.<\/p>\n
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But China’s circumstances mean a big downturn remains unlikely, and large sections of the market should keep rising this year, though at a much slower pace than in 2006, say most fund managers and analysts at local and foreign houses.<\/p>\n