China Growth Near 10 Percent in Second Half: Market Pro

Michelle Lodge
Friday, 25 Jun 2010 | 12:38 PM ET

China is managing its economy well—and has got it right—Michael Hasenstab of Franklin Templeton Investments told CNBC Friday. He expects growth of 9 percent in the second half of this year.

Managing Volatility in Global Markets
The volatility index is up 18 percent this week, with Michael Hasenstab, Templeton Global Bond Fund.

Among the positive actions that China has taken, said Hasenstab, is that it’s starting to retract expansion and demonstratingmore flexibility with its currency, the yuan, which could help control inflation and, over the long-term, rebalance the economy in the domestic realm.

He added that the country had “tried to prick them [the housing bubbles]” before they become oversize.

“We’re encouraged that while growth will slow,” he said, “but it won’t be a hard landing.”