Gold Rush

With the stock market fluctuating and the property sector subdued, the gold market had a chance to shine.

In 2010, prices of gold futures at the Shanghai Gold Exchange (SGE) climbed around 23.7 percent on buoyant demand. The total volume of gold traded on the SGE totaled 6,046 tons last year, soaring 28.48 percent from 2009.

As inflation jitters proliferate in the country, risk-weary investors continued to appreciate the enduring value of gold, despite its surging prices. Meanwhile, economic growth in the country might decelerate, which should have a subsequent positive effect on gold, said Zhang Yingying, a senior analyst at the China Galaxy Securities Co. Ltd.

Besides this, the increased investment activity was also in part driven by new investment vehicles offering improved access to gold trading, she said.

In August 2010, the Chinese Government announced a relaxation of the rules on gold derivatives trading and pledged to allow more commercial banks to undertake imports and exports of the precious metal.

Since 2007 China has been the world's largest gold producer. Gold output climbed 8.57 percent year on year to reach 341 tons in 2010, according to the China Gold Association. It is also the world's second largest gold consumer, with buoyant demands from all factors, including jewelry sales, private investment, as well as industries and the central bank.

The World Gold Council even predicted that China's gold market will double within the next decade as retail investment and jewelry demand booms.

The council estimated China's per-capita ownership of gold coins and bars was only 0.26g, compared with more than 100g in developed countries, which means there is ample room for growth.

Telecom Giants Roar

For Chinese telecom equipment vendors, 2010 meant more cheer than despair.

Huawei Technologies Co. Ltd. said sales revenues for 2010 totaled $28 billion, soaring 24 percent from a year ago. The figure is based on an unaudited financial statement on an internal publication of Huawei.

During its early days, the company stood out thanks to its low-cost supplies, but it now relies more on its technological advantage to compete with global rivals. Huawei's march into the European market, together with deals in some emerging markets, helped it become the world's second largest mobile network equipment maker last year, behind Ericsson.

Despite some frustrating setbacks on the path into the U.S. market, it is determined to make a breakthrough there. "Free market principles ensured the group would work with a major U.S. carrier, a goal that has remained elusive," said Charlie Chen, Vice President of Huawei.

Meanwhile, the performance of ZTE Corp. was no less bright. In 2010, its revenues surged 16.7 percent year on year to reach 70.33 billion yuan ($10.7 billion). The company raked in net profits of 3.25 billion yuan ($494 million), up 32.4 percent from 2009.

The success was attributable to ZTE's decision to push low-cost Android phones and other budget phones, particularly in its native country and developing areas like Africa, said a recent report from the U.S. market research firm International Data Corp.

With a global market share of 3.7 percent, ZTE became the world's fourth largest cell phone manufacturer last year, it said.

Hot Job Markets

China's job markets are expected to gain steam in 2011, drawing strength from a vibrant macroeconomy, said a recent report by the Career International Inc., a leading recruitment solution provider based in Beijing.

The report was based on a survey of more than 1,267 corporate executives and 682 companies in medical and healthcare, real estate, manufacturing, hi-tech, consumer goods and financial industries.

More than 60 percent of the surveyed enterprises said they planned to increase recruitment this year. The rate for the financial industry was the highest among the six sectors at 73 percent, followed by 71 percent of the medical and healthcare industry.

As the securities markets mature and insurance businesses bloom, the demands for financial talent will pick up, said the report.

Besides this, a string of overseas banks are making forays into the Chinese markets, exacerbating the shortage of high-end bankers, it said.

Meanwhile, 54 percent would boost employee wages by 8-15 percent to retain talent this year.

There will be three significant drivers for wage growth in China—economic boom, inflationary pressures and an improving employment landscape, said Wang Tianpeng, a partner of Career International.