Xinhua China News Digest at 11:00 GMT, Oct. 29

The following are China news stories moved by Xinhua News Agency as of 11:00 GMT, Oct. 29.

TOP STORIES:

* Fourth Chinese navy flotilla to sail for waters off Somalia ZHOUSHAN, Zhejiang Province, Oct. 29 (Xinhua) -- A Chinese navy flotilla will depart from the Zhoushan Islands on Friday to escort merchant vessels and protect them from pirate attacks in the Gulf of Aden, a spokesman with China's People's Liberation Army Navy (PLAN) said Thursday.

* China faces "severe challenges" in combating A/H1N1 flu: State Council

BEIJING, Oct. 28 (Xinhua) -- China's State Council said Wednesday the country faces "severe challenges" in the prevention and control of A/H1N1 flu after some areas reported a sharp increase in the number of patients infected by the epidemic.

* 1st Ld: China, U.S. seek closer trade relations ahead of Obama's visit HANGZHOU, Oct. 29 (Xinhua) -- China and the United States on Thursday started their annual trade talks in east China's Hangzhou city, aiming at addressing trade issues and laying the groundwork for a meeting between leaders of the two countries in Beijing.

* China firmly supports Pakistan's unremitting efforts to achieve national stability BEIJING, Oct. 29 (Xinhua) -- China will continue to firmly support the unremitting efforts of the Pakistani government and people to achieve national stability, Chinese Foreign Ministry said Thursday.

BUSINESS & FINANCE:

* China's sovereign wealth fund getting decent returns

BEIJING, Oct. 29 (Xinhua) -- China Investment Corporation (CIC), the nation's sovereign wealth fund, has invested half of its 110-billion-U.S. dollar available capital in the overseas market and has gained decent returns from it so far, China Daily reported Thursday.

* China Minmetals urges industry leaders to diversify iron ore sources

BEIJING, Oct. 29 (Xinhua) -- China Minmetals, the country's largest state-owned metals trader, has urged industry leaders to diversify iron ore supply and improve negotiation tactics to reverse China's unfavorable position in global iron ore deals, China Daily reported Thursday.

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Duty editor: Zhao Jiemin @ 8610 6307 3665

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