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China stock slump highlights market flaws

S.China Morning Post
Monday, 31 December 2012

Chinese stocks this year fell to levels unseen since the global financial crisis, as investors ignored a rebound in the world’s second largest economy and focused on fundamental problems with the market.

China’s economic growth hit a more than three-year low of 7.4 per cent in the third quarter, although recent manufacturing and other data have fuelled optimism that it has begun to recover.
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