China-Taiwan: Not so fast

• Published 14 May 2009

The Taiwan stockmarket has defied poor domestic economic prospects in 2009 to soar on hopes of a thorough rapprochement with China. But can the optimism that springs from warming cross-straits relations be sustained?

A list of luminous expectations backed by positive developments so far has made China's rapprochement with historical rival Taiwan one of the brightest spots in a generally gloomy global investment environment. But with Taiwan stock prices up by around 40% since the start of 2009, is investor optimism already overdone, especially given that Taiwanese gross domestic product growth is likely to contract sharply this year?

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  1st - 14th May

• Macro View

  The hogs have it

• Forbidden City

  What's after the '4,000bn thing'?

• Funds Data

  Taiwan shines, again

• The Best of Chinese Commentators

  A taxing question

  Should deepening deflation cause alarm?

• The Big Call

  Property surge has legs

• Consumer China

  Retail spurred by inland dynamism

  Gome falling from its pedestal

  Wumart reaps rewards for convenience

  Suning gets boost from property rebound

  Zhongbai's success begins (and ends?) at home

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