The rapid pace of China's currency reserve depletion is 'simply unsustainable'

[LiteCoinGuy]

The rapid pace of China's currency reserve depletion is 'simply unsustainable'

China’s massive foreign-exchange reserves shrank to the lowest levels since May 2012.

The People’s Bank of China reported today that during January, reserves dropped by $99.5 billion (£68.6 billion) to $3.23 trillion, slightly more than the $3.2 trillion markets expected in their poll, Reuters said after the data was released.

http://www.businessinsider.de/ihs-chinas-currency-reserve-depletion-pace-is-simply-unsustainable-2016-2?r=UK&IR=T

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[jaysabi]

What is the depletion being used for though?

[OROBTC]

...

Zero Hedge had an article on this same subject.  One of the comments calculated that the BofC would have severe problems about mid-summer.

What cannot be sustained, will not be sustained.


Do I hear flocks of big birds taking off in the distance?  Would they be swans?  Black Swans?

*   *   *

jaysabi

China has been buying a lot of hard assets worldwide (esp. in the USA).  Perhaps, like the Japanese in the 1980s, they are overpaying...

[jaysabi]

...
jaysabi

China has been buying a lot of hard assets worldwide (esp. in the USA).  Perhaps, like the Japanese in the 1980s, they are overpaying...

Do you mean overpaying in the sense that they shouldn't be spending their reserves, or overpaying in that they are paying above market value for the sake of converting to hard assets?

[yugo23]

What is the depletion being used for though?

Corruption man, corruption everywhere

[TPTB_need_war]

The reserves are being depleted by rich corrupt Chinese moving their funds offshore to escape from the coming Yuan/USD exchange rate collapse. And also to seek a safe haven from the witch hunt underway against corruption in China.

[Karartma1]

The reserves are being depleted by rich corrupt Chinese moving their funds offshore to escape from the coming Yuan/USD exchange rate collapse. And also to seek a safe haven from the witch hunt underway against corruption in China.

I was in China for two months last year and that is exactly what I understood from Chinese people.
Personally I see the Chinese economic bubble as a ticking time bomb. We saw something last month and maybe we could see the rest soon.

[Pab]

Thay are  selling  USA debts China economy is China and chinise  companysYou dont know what  amount of gold chinise companys have.China  is buying gold,mega crash is coming