External reserves rose by 500 billion!Actively buying gold and selling US bonds on a large scale has

Mondo Finance Updated on 2024-01-29

The United States has been trying to suppress non-Americans for the past three monthsCurrencyof the exchange rate that led to our country'sForexReserves continue to decline. However, the latest data shows that China'sForexReserves grew by $70.6 billion, equivalent to $500 billion, in a monthRMB。At the same time,U.S. dollar indexAfter three months in a row, there was a sharp **, with the lowest falling below 1025。This came as a surprise to the United States, because they were no longer happy to see ChinaForexReserves increased.

The United States has always wanted to do this by restraining the non-AmericanCurrencyThe exchange rate to consolidate the dominance of the dollar, but China adopted positivelyForexReserve management counterattacked within a month. The data shows that China'sForexReserves increased by $70.6 billion, equivalent to $500 billionRMB。At the same time,U.S. dollar indexThere was a large **, falling below 1025 all time lows. This came as a surprise to the United States, which in the past had been happy to see ChinaForexReserves have increased, but now the situation is different.

In the past, ChinaForexThe increase in reserves was mainly focused on the purchase of US dollar assets, so we used to hold close to 14 trillion dollarsU.S. Treasuries。However, even ifForexReserves have increased and we are still continuing to sellU.S. Treasuries。Currently, we holdU.S. TreasuriesIt has been reduced to less than $780 billion, a decrease of nearly $600 billion compared to its peak. Since falling below the 1 trillion mark last year, we have continued to break through various integer barriers, and in the latest month, it has reached 27.3 billion and fallen below the 800 billion mark. The scale is getting bigger and bigger, and the determination is getting stronger and stronger. Therefore, even the ChineseForexReserves are increasing, and the United States can't give us moreU.S. Treasuries

In the past, ChinaForexThe growth of reserves is largely dependent on the purchase of dollar assets, especiallyU.S. Treasuries。So we had held close to 14 trillion dollarsU.S. Treasuries。However, even ifForexReserves are increasing and we are continuing to sell US Treasuries. Currently, we holdU.S. TreasuriesIt has fallen below $780 billion, a decrease of nearly $600 billion from its peak. Since breaking through the 1 trillion mark last year, we have continued to fall below various integer mark, and in the latest month, we have reached 27.3 billion and fallen below the 800 billion mark. This shows that China is interested inU.S. TreasuriesThe scale is getting bigger and bigger, and the determination is getting more and more resolute. Therefore, even the ChineseForexReserves increase, and the United States cannot continue to peddle more to usU.S. Treasuries

In addition to sellingU.S. TreasuriesOutside of ChinaForexA part of the funds from the reserve is used for purchasesReserves。So, over the past 12 months, China'sReservesIt's increasing every month. This sends a clear signal to the outside world that we are not just buyingand will continue to increase the size of purchases. This quantitative change will eventually lead to a qualitative change.

In addition to sellingU.S. TreasuriesOutside, China willForexA portion of the funds from the reserve is used for purchasesReserves。So, over the past 12 months, we've increased every monthReserves。This sends a clear message to the outside world that we are not just buying in large quantitiesand will continue to increase in size. This gradual growth will eventually lead to qualitative changes that will make China'sReservesIt plays a more important role in the international arena.

Currently, the dollar is globalForexThe share of reserves is gradually decreasing. Over the past 20 years, the share of the dollar has fallen by almost 20 percentage points. This is despite recent data from the SWIFT system, where the US dollar still accounts for the largest share of global payments, even more than half a year ago. However, this is only scratching the surface. In fact, as the United States pushes some countries out of the SWIFT system from time to time, the monopoly of the system is gradually crumbling, and many payment data are no longer reflected in it. As a result, the percentage of payments in US dollars is not accurate. China has continued to sell off U.S. bonds and has invested its money elsewhereForexassets, further reducing the share of the dollar in China's foreign reserves.

Currently,Global central banksReconfigure it graduallyForexreserves, reducing dependence on the dollar. Over the past 20 years, the dollar has been globalForexThe share of reserves fell by almost 20 percentage points. Despite recent data from the SWIFT system, the US dollar still accounts for the largest share of global payments, even more than six months ago. However, this is only the appearance. In fact, as the United States continues to expel some countries from the SWIFT system, the monopoly of the system is gradually crumbling, and many payment data are no longer reflected in it. As a result, the percentage of payments in US dollars is not accurate. And China keeps sellingU.S. Treasuriesand buy othersForexassets, further reducing the share of the US dollar in China's foreign reserves.

China's external reserves increased, especially purchasesReserves, providing sufficient support for the strengthening of the renminbi. This has also sparked an international market pairRMBThe demand is becoming more and more intense. The most intuitive manifestation is,RMBThe offshore exchange rate against the dollar suddenly fell by 1,961 points in November. It is expected that after the Fed announces its decision to raise interest rates, the US dollar will continue**, whileRMBIt will continue to go strong.

The increase in China's foreign reserves, especiallyReservesThe purchase of the renminbi provides sufficient support for the strengthening of the yuan. This has also sparked an international market pairRMBThe demand is becoming more and more intense. The most intuitive manifestation is,RMBThe offshore exchange rate against the US dollar appeared suddenly** in November, rising to 1961 points. After the upcoming announcement of the Federal Reserve's decision to raise interest rates, the US dollar is expected to continue**, whileRMBIt will strengthen further.

ChineseForexReserves grew sharply in a month, which was a surprise for the United States. AlthoughForexThe increase in reserves usually satisfies the United States, but the situation in China is different. We don't buy big anymoreU.S. Treasuries, but continue to sell, using the funds to buyReserves。This action demonstrates China's determination and strength, and also triggersGlobal central banksRightRMBinterest. At the same time, the share of the dollar in global reserves is gradually declining, and its monopoly is being shaken. ChineseForexreserves andThe buying action has intensifiedRMBstatus, makeRMBagainst the US dollar**, and the outlook for the US dollar is not optimistic. This series of changes will further affect the global economic landscape andCurrencyI am a language model AI assistant and cannot verify the accuracy of the information. The text refers to ChinaForexRising reserves, implications for the U.S., and a sell-off in ChinaU.S. Treasuriesand purchasesetc. However, please note that the accuracy of these views needs to be determined through further research and validation. Complete and accurate information is best obtained from credible news**.

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