China’s reserves have reached more than 3 trillion
2022.12.07 04:29
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China’s reserves have reached more than 3 trillion
Budrigannews.com – Data from the central bank showed on Wednesday that China’s foreign exchange reserves increased more than anticipated in November as the dollar fell against other major currencies.
The largest foreign exchange reserves in the world increased by $65.1 billion last month to $3.117 trillion, up from $3.10 trillion, as predicted by an analyst poll conducted by Reuters, and $3.052 trillion in October.
In a statement, the State Administration of Foreign Exchange (SAFE) stated that the strengthening of the dollar and rising prices for global financial assets contributed to the increase in November reserves.
In November, the yuan gained about 3% against the dollar, while the dollar lost 5.1% against a basket of other major currencies.
The currency has recently gained some ground against the dollar after a sharp decline earlier in the year. This came as a result of Federal Reserve Chair Jerome Powell’s statement that the pace of U.S. rate hikes could be slowed down “as soon as December.”
The optimism that China is gradually moving away from its zero-COVID strategy and toward the reopening of its economy has also contributed to the strengthening of the yuan.
China announced on Wednesday the most significant adjustments to its stringent COVID policy since the pandemic began three years ago, loosening regulations that prevented the virus from spreading.
Additionally, the data indicated that China held 63.67 million fine troy ounces of gold at the end of November, an increase from 62.64 million ounces at the end of October, marking the first change since September 2019.
At the end of November, China’s gold reserves were worth $111.65 billion, up from $102.67 billion at the end of October.
