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Chinese stocks are cheap for a good reason Add to ...

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China was the world’s fastest growing large economy in 2013, and one of its worst performing stock markets.

While December data aren’t in yet, the country’s gross domestic product is believed to have expanded by 7.5 per cent last year, a rate that leaves North American and European economies in the dust. Yet the Shanghai Stock Exchange Composite Index – the nation’s largest equity benchmark – fell 6.5 per cent.

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