Evergrande expects stable prices through end-of-year

Evergrande Real Estate (3333.HK) said that it expected to exceed its full-year contract sales forecast in 2010, and forecast stable prices for the rest of the year if Beijing refrains from introducing policies aimed at the property sector, Reuters reported. "If there are no new measures, then prices will be quite stable. From what I see, the current price trend is quite conducive for the broader China economy," said James Xia, Evergrande’s chief executive. The company said it reached 65% of its annual target of US$5.91 billion in contract sales in the first seven months of the year. Beijing recently asked banks to conduct stress tests on loans to developers and other industries tied to the property market to gauge the impact of a sharp fall in real estate prices. However, the China Banking Regulatory Commission said the tests were not a reflection of the government’s assessment of market trends.