China is struggling with the inflationary effects of its currency policy three years after launching a partial reform. Speculative "hot money" is pouring into the country, while food prices have jumped by over 20 percent so far this year
China's energy supplies are under severe strain as the Olympic Games approach. The country's main coal-producing province has run short of coal and power as it struggles to meet Beijing's demand.
World Bank backs proposal for an international food reserve to meet emergencies and curb runaway prices, as G8 nations pledge to study the plan.
China’s price hike for fuel has created demand for more
oil, which may be just the opposite of what the government
planned, experts say.