Signs that China is preparing to calm its breakneck economic growth are hitting stock markets across Asia.
On Wednesday, Chinese Prime Minister Premier Wen Jiabao told Reuters that Beijing was readying "forceful" steps to cool a huge surge in investment. Reports that China had banned smaller banks from lending for the rest of this week followed, although the central bank denied it had done any such thing.
Shares in China, Korea, Australia and elsewhere fell following the news.
China's economy has been among the world's fastest-growing for some time, but 2003 saw a fresh spurt, with gross domestic product (GDP) expanding 9.1%. The main driver has been a 43% leap in investment in fixed assets such as industrial machinery and construction.
That has stoked fears that the economy will overheat, triggering government action to restrict lending and tighten land-use rules to slow industrial developments.
