Besides the man made disaster of inflation, China can now count unfortunate natural disaster as another factor for would-be FDI.
The export-led recovery by the U.S. has hit China hard, and dollar strength will be de jure policy for China going forward.
This event will not be handled well by the official media sources in Beijing, and will only serve to remind China bulls that the country has a myriad of institutional risks that are only now being recognized.
When you have 10% growth and low inflation, herd-like investors extrapolate that to infinity. When you have 8% growth and 8% inflation, herd like investors extrapolate that to infinity as well.