China FX regulator weighs in on US bond-buying story
Reports ‘may be fake news’
China’s State Administration of Foreign Exchange (SAFE) on Thursday questioned the veracity of reports that Beijing is considering halting or slowing purchases of US Treasuries.
“We also only came to know about this information through these media reports,” a SAFE spokesperson was quoted on the agency’s website as telling a reporter.
The spokesperson added that the news ‘may have quoted mistaken information sources, and also may be fake news.”
China’s decisions on foreign exchange holdings, as well as its investments in US Treasuries, are market-driven, he explained.
The reporter’s question was in response to an article from Bloomberg on Wednesday, citing ‘people familiar’ with ‘senior officials’ review of China’s foreign exchange investments. No agency was specified.