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A liquidity led stock rally?

  • Published 06 Aug 2009

Debate rages over the role of easy credit in the 100% rise of Shanghai's stock index since November last year.

Shanghai's SSE Composite Index has risen around 100% since November last year and recently exceeded the 3,400 point – similar levels to early 2007. But has surging liquidity alone been responsible for the rally, and what is in store for 2H?

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