China Currency Reserves Top Japan's, Newspaper Says

[lovuian]

http://quote.bloomberg.com/apps/news?pid=10000080&sid=aTRzNohbX82g&refer=news_index


March 28 (Bloomberg) -- China's foreign-exchange reserves overtook Japan's as the world's largest, reaching $853.7 billion by the end of last month, the state-owned China Business News said, citing people it didn't identify.

The reserves, which doubled in the past two years, rose from $845.2 billion on Jan. 31 and passed Japan's $850.1 billion, the newspaper said. The central bank has yet to confirm the figure, said the paper, a venture of the Shanghai government and two state media groups. A People's Bank of China official declined to comment.

snip...
To maintain a similar portion of euros and yen in their portfolio they need to sell dollars,'' said James Malcolm, currency strategist at Deutsche Bank AG in Singapore. ``If China allowed its currency to rise significantly it would have some impact'' on the size of the reserves.
snip...
The country has been investing the reserves in U.S. bonds and assets. China held $262.6 billion in U.S. government Treasury bonds at the end of January, making it the largest investor after Japan. China's purchases of Treasuries have helped keep down market interest rates in the world's largest economy.
more...
Maybe its me but I feel we have been attacked economically by China
and Bush was its ally... What has he and the corporations done???
Handed America over to the Communists???

[fasttense]

1. We've been in a trade war with China for the last eight years

and China won. Only congress and brush have not realized it yet.

[dipsydoodle]

2. The damage has been done

by US companies having stuff manufactured or assembled over there. Chinese labour gets a pittance in wages and then the gear is sold at market price in the USA. As a result those US companies make huge bundles.

I guess it's similar here in the UK with respect to profits from selling Chinese goods and also in other EEC countries.

I read on another thread that the threat now exists of the US government imposing a c. 25% tariff on Chinese goods. I think that if that level is imposed the Chinese could well retaliate, if they felt so inclined, by changing some of their dollar reserves into other currencies.

ps their banjos are complete pants - best avoided

[no_hypocrisy]

3. Does this make China the richest country in the world as far as

assets go?

[David__77]

4. What's with the McCarthyite lingo?

"Hand over to the communists?" Do you honestly believe that "red subversion" is a threat to the US? Isn't it really the case that it's the US that's a threat to China's sovereignty? Who's surrounding who with troops and bases? No one can blame China for the US's decline globally. It's the fault of the US's own mad international strategy.