Optimism that Chinese investment will squelch the spread of sovereign default contagion sent stocks shooting to their best levels of the day by the close of trading.

FORBES: Talk Of China Bankrolling Italy Gives Stocks Late Lift

American officials are talking up the prospect for success, although Chinese statements hardly justify their optimism.

ECONOMIST: Disarmament and counter-proliferation

Expectations that Chinese companies will regain some of their pricing power this year, optimism about U.S. demand and the further opening of Chinese capital markets to foreign central banks are among the current drivers for these funds.

FORBES: Where The Money's Flowing