In java without using new you can not create instance of a 
class.

By using Class d=Class.forName("className");
Object obj=c.newInstance();

yes ....Class is a class which creates object 
dynamically.....

three types
1.using factory methods
  NumberFormat obj = NumberFormat.getNumberInstance();
2. using newInstance() method
  class c = class.forName("Employee");
  Employee obj = c.newInstance();
3. using coloning:
coloning is a way to create Bitwise exactcopy of an 
existing object
Employee e2=e1.clone();

Dynamic loading is a technique for programmatically 
invoking the functions of a class loader at run time. 

Let us look at how to load classes dynamically.

Class.forName (String className); //static method which 
returns a Class
The above static method returns the class object associated 
with the class name. 
The string className can be supplied dynamically at run 
time. 
Once the class is dynamically loaded the following method 
returns an instance of the loaded class. It’s just like 
creating a class object with no
arguments.
class.newInstance (); //A non-static method, which creates 
an instance of a
//class (i.e. creates an object).

Example as shown below .... 

Test test = null ;
String myClassName = "com.test.DynamicLoadingClass" ;
Class testClass = Class.forName(myClassName) ;
test = (Test) testClass.newInstance();

with out new operater we can create object. Because the 
String varible is taken as an object in java, which is 
created  with out new operater.
ex.
   String str="xxxx";

by using class.forName();

This is happening using reflection. Read reflection in java