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China forex reserves hit record US$2.13 trillion

Yes, British sterling played a similar role in 19th century. Replaced by USD in 20th century. My view is that USD would remain relevant in this century... Only extreme high inflation in US in the next century will create havoc in financial markets ..

 

:)

That was probably what the British said just a few years before the world's currency was changed  from the sterling pound to the USD.

smartrader      ( Date: 15-Jul-2009 21:12) Posted: not in this century...

 

not in this century...

 

There may come a time in the future when the world's standard currency is in Chinese Yuan.

 

2.13 trillions, wah universe fig,  How the pie share among 1.4 billion of population with only import?? Ha ha, how long they can tahan loh? Though that would not happen one lah.

Spore with 200 billioins of FR n population of 4 millions, less headche I think.

nickyng      ( Date: 15-Jul-2009 14:29) Posted:    hmmm...i dun see how come China cannot replace Japan as world no.2 economy in 2-3years time ?!?!? :P   BEIJING: China's foreign exchange reserves, already the world's largest, rose by 17.8 per cent year-on-year to a record US$2.13 trillion at the end of June, the central bank said Wednesday. Foreign exchange reserves grew by US$185.6 billion in the first six months of this year, the bank said in a statement. The figure was the highest reported by the bank. Foreign exchange reserves were US$1.95 trillion at the end of the first quarter of 2009. The nation's foreign exchange reserves rose by US$42.1 billion in June, US$30.2 billion more than the same month last year, it said. Such a rise appears to show that capital inflows into China are returning as the nation's economy recovers from the global financial crisis. China's foreign exchange reserves have ballooned in recent fears, fuelled by robust foreign investment, a hefty trade surplus and inflows of "hot money" or short-term speculative funds in search of quick profits. The nation's forex reserves stood at US$1.946 trillion at the end of 2008. China has invested a large part of its vast reserves in US dollars, such as safe but low-yielding US Treasury bonds, but has tried amid the financial crisis to diversify its investments to improve its returns. With the United States and the world economy still reeling from the crisis, Beijing in recent months has also called for the creation of a new international reserve currency to replace the dollar.

 

 

 hmmm...i dun see how come China cannot replace Japan as world no.2 economy in 2-3years time ?!?!? :P


 

BEIJING: China's foreign exchange reserves, already the world's largest, rose by 17.8 per cent year-on-year to a record US$2.13 trillion at the end of June, the central bank said Wednesday.

Foreign exchange reserves grew by US$185.6 billion in the first six months of this year, the bank said in a statement.

The figure was the highest reported by the bank. Foreign exchange reserves were US$1.95 trillion at the end of the first quarter of 2009.

The nation's foreign exchange reserves rose by US$42.1 billion in June, US$30.2 billion more than the same month last year, it said.

Such a rise appears to show that capital inflows into China are returning as the nation's economy recovers from the global financial crisis.

China's foreign exchange reserves have ballooned in recent fears, fuelled by robust foreign investment, a hefty trade surplus and inflows of "hot money" or short-term speculative funds in search of quick profits.

The nation's forex reserves stood at US$1.946 trillion at the end of 2008.

China has invested a large part of its vast reserves in US dollars, such as safe but low-yielding US Treasury bonds, but has tried amid the financial crisis to diversify its investments to improve its returns.

With the United States and the world economy still reeling from the crisis, Beijing in recent months has also called for the creation of a new international reserve currency to replace the dollar.