State-owned China Everbright Holdings will exercise caution when it comes to investing in the domestic property sector due to market volatility, the South China Morning Post reported, citing the investment firm’s chief executive Chen Shuang. Chen said that rapidly rising property prices were also a threat to the market and in some areas were "frightening." He believes an interest rate hike could come earlier than the third quarter to ease pressure on a bubbling housing market. Property prices rose 9.5% in January, the fastest pace in 21 months, increasing pressure on policy makers to cool the market.
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