Golden opportunity
HOME > PAST ISSUE > REPORTS [Premium content]August 2007
A movement into the gold market is seen as a means of diversifying China’s US dollar holdings
As the US dollar weakens, China’s stock of dollars and dollar-denominated debt is falling in value. Unwilling to be caught holding the bag, bankers have been seeking ways to reduce their risk. In any other currency regime, this rebalancing would be simple: swap dollars on the open market. But Beijing’s restricted system forbids this.
China’s export-dependent economy thrives on an artificially strong dollar and a relatively weak yuan. Lack of faith on the part of ...
China’s export-dependent economy thrives on an artificially strong dollar and a relatively weak yuan. Lack of faith on the part of ...
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