China cut US dollar reserves last year

[Dover]

China cut US dollar reserves last year


AP , BEIJING
Saturday, Mar 12, 2005,Page 10
China cut the share of its foreign reserves held in US dollar assets last year, suggesting that the US might no longer be able to rely on Asia to finance growing deficits, investment bank Lehman Brothers said in a report this week.

China has the world's second largest foreign currency reserves after Japan, with the equivalent of nearly US$610 billion at the end of last year. The figure rose US$209.9 billion last year, driven in part by a surging trade surplus.

Even as the reserves grew, the share of US dollar assets held by China's central bank fell to 76 percent, down from 82 percent in 2003, Lehman Brothers said.

The bank "is slowly diversifying its FX reserves away from US dollars," said the report, written by London-based analyst Shruti Sood....>

http://www.taipeitimes.com/News/biz/archives/2005/03/12/2003245948

[kiraboo]

1. This particular "I told you so" is really going to hurt. n/t

[nadinbrzezinski]

2. My god, ok this is not gonna be pretty

Look on the bright side, that cute misery index is truly gonna go up this time.....

What a royal fuck up!