China may raise interest rates

China's central bank will likely raise interest rates within the next six months, Bloomberg News reported. The news agency's survey of 12 economists concluded that the People's Bank of China will raise its benchmark lending rate from 6.12%. A rate hike is likely because China needs to cool inflation and investment. Gross domestic product grew by 10.7% last year, the highest rate recorded since 1995. The central bank raised interest rates twice and reserve requirement ratios three times last year, with another ratio increase on January 15. State media also reported that economists forecasted a probable rate hike.