China Bond Defy Inflation.

The article offers information on the China government bond market as of February 28, 2008. It states that despite the high level of inflation in China, prices in the government bond market are rising. The author cites the case of Chinese banks which are on a buying frenzy for local bonds while hoping that the government will lift interest rates. Despite the rally, Chinese traders said that the trend does not really make the government debt-securities a good investment.