China, what credit crunch?

Chinese data released over the weekend showed that banks had continued to lend for new investment projects with record new loans of $277bn in March. China's latest trade numbers revealed signs of stabilisation for both exports and imports over the past year to March. The news, together with the record surge in bank lending and money supply last month, fuelled hopes of an early economic recovery in the country and boosted Chinese equities. The Shanghai Composite gained 2.8 per cent to reach its highest level in eight months as turnover ballooned to Rmb187.3bn, the highest for nearly a year.