China’s forex reserves rise to US$3.112 trillion in June
- The country’s foreign exchange reserves – the world’s largest – rose US$10.64 billion in June to US$3.112 trillion, central bank data showed on Tuesday
- Strict capital controls have also helped China keep outflows under control despite the shock from the coronavirus outbreak, US trade war and weakening economic growth
China’s foreign exchange reserves rose less than expected in June as the yuan strengthened and global asset prices rebounded amid a recovery in economic sentiment.
Economists polled by Reuters had expected the country’s reserves to rise by US$18.31 billion to US$3.120 trillion.
Foreign inflows into Chinese stocks and bonds have picked up recently as investors bet on an economic rebound.
Strict capital controls have also largely helped China keep outflows under control over the past year despite the shock from the coronavirus outbreak, a prolonged trade war with the United States and weakening economic growth.
The yuan rose 0.99 per cent against the US dollar in June, while the US dollar fell about 0.97 per cent in the same month against a basket of other major currencies.
China held 62.64 million fine troy ounces of gold at the end of June, unchanged from the end of May.