SINGAPORE--(Marketwire) - The primary Chinese benchmark, the Shanghai SSE Composite index, closed on a flat footing this morning (December 19th) after the World Bank raised its growth forecast for the world's second-largest economy.
According to the organisation, stimulus measures and the approval of infrastructure projects in the country will help drive growth, averting the slowdown so many had feared.
Chinese policymakers have approved two interest rates since June and have signed off on infrastructure projects worth in excesses of $150 billion (£94 billion).
The international financial institution added that the improvement in factory sector output and investment indicates the economy is "bottoming out."
Indeed, the World Bank now anticipates China to grow by 8.4 per cent next year, which is an upward revision from its earlier estimate of 8.1 per cent.
At close of play this morning, the Shanghai Composite index was flat, ending the day on 2162.2 points.
City Index is a leading global provider of margined FX trading, CFD trading. As a group, we transact in excess of 1.5 million trades every month for individuals in over 50 countries worldwide.
A CFD, or Contract for Difference, is an agreement between two parties to exchange the difference between the opening price and closing price of a contract.
CFD Trading, unlike other forms of traditional trading, enable you to go short so you can potentially profit from falling prices as well as rising markets. As CFDs are a leveraged product, you can potentially enhance your return on investment.
Your losses are magnified in exactly the same way as your gains if the market moves against you and can result in losses exceeding your initial outlay. Please ensure you fully understand the risks involved.