Efforts underway to cool flow of hot money after asset bubble fears

After a string of emerging countries - including India, Indonesia, Thailand and Brazil - began to target the flow of short-term speculative capital, many experts believe China will step up its efforts to control the flow of so-called hot money.

The deputy governor of China's central bank, Yi Gang, said on Wednesday Chinese authorities will increase surveillance on flows of speculative money. And on the same day, the State Administration of Foreign Exchange tightened rules on individuals transferring yuan and foreign exchange between bank accounts.

Many analysts interpreted the rules as a way to control cross-border transfers, an important channel for hot money flowing into China.