BEIJING -- China's booming economy is cooling more rapidly than most forecasters had expected, undermining hopes that Chinese demand could help keep the global economy humming even as the developed world grinds through a financial crisis.

The new Chinese data came as some positive signs emerged in the global financial crisis. U.S. stocks rose sharply Monday after lending rates among banks eased significantly, evidence that confidence in lenders is starting to revive. Also cheering investors was Federal Reserve Chairman Ben...