In two experiments, a parafoveal lexicality effect in the reading of Chinese (a script that does not physically mark word boundaries) was examined. Both experiments used the boundary paradigm (Rayner, 1975) and indicated that the lexical properties of parafoveal words influenced eye movements. In Experiment 1, the preview stimulus was either a real word or a pseudoword. Targets with word previews, even unrelated ones, were more likely to be skipped than were those with pseudowords. In Experiment 2, all of the preview stimuli had the same first character as the target. Target words with same-morpheme previews were fixated for less time than were those with pseudoword previews, suggesting that morphological processing may be involved in extracting information from parafoveal words in Chinese reading. Together, the two experiments dealing with how words are processed in Chinese may provide some constraints on current computational models of reading.