Chinese economic growth remains solid and steady, and we continue to expect mildly slower but still steady momentum into 2006.

We are concerned the overheating fixed asset investment has still not yet been effectively controlled.

We are concerned the overheating fixed-asset investment has still not yet been effectively controlled.

The consistently elevated level of trade surplus continues to put pressure on officials to allow further yuan appreciation.

As Chinese policy makers get more confident about the sustainability of the economy’s strong growth pace, political acceptance for yuan gains will also rise.