Understand The Gold Content Of China'S 4 Trillion Foreign Exchange Reserves

< p > the world's < a target= "_blank" href= "http://www.91se91.com/" > clothing < /a > a target= "_blank" href= "_blank" > shoes < < hat net "Xiaobian to introduce the gold content of China's 4 trillion foreign exchange reserves.

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< p > in terms of economic scale, the US's < a href= "http://www.91se91.com/news/index_s.asp" > Gold < /a > reserves is 8000 tons, and China should match 4000 tons.

But if China's economy is growing faster than the US, China needs to buy more gold.

Unhealthy stock market is not conducive to investment, low interest rates and bubble in the real estate industry, so the only option is gold.

Now is the best time to buy gold.

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< p > is foreign exchange reserves really burdened? Recently, when Premier Li Keqiang attended the event in Africa, he first mentioned the issue of foreign exchange reserves, saying that more foreign exchange reserves had already been a great burden.

This concern was also mentioned by the Secretary for foreign affairs, Yi Gang, at the annual meeting of the International Monetary Fund (micro-blog IMF[) last year.

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(P) when American economists are asked if they are worried about China's economy, they always sum up the words "China has nearly $four hundred billion in foreign exchange reserves, not to worry too much".

It sounds like if anything happens, Chinese people will be able to queue up for the subsidy at the central bank [micro-blog] gate.

Li Keqiang's worries have broken the gap between "rich" and "earning".

I interviewed the author of "who will dominate the world currency" (the US version of "currency wars"), Tangent capital executive director and senior investor James.

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< p > < strong > China's gold reserve is more than 10 million tons < /strong > /p >

"P >" according to official statistics, China's foreign exchange reserves are approaching 4 trillion US dollars.

This huge reserve appears to be closely linked to two investments: gold and US Treasury bonds.

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< p > the people's Bank of China [micro-blog] released the official gold reserve figure of 1054 tons this year.

According to his inference, the real reserves are around four thousand tons.

The amount of gold flowing into and from Hongkong can reach about 6250 tons.

And if half of them flow into private investors, half of them will have about 3000 tonnes of national reserves.

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Besides P, the government is also getting gold through other channels, such as Russia.

The annual gold production in Russia is up to 200 tons. In addition to self preservation, large export customers are most likely to be China, and such pactions may be unknown through the military.

So, in the view of Li Chi, China's gold reserves actually amount to 4000 tons.

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< p > even though the gap between the official data and the official data is close to 3000 tons, he believes that China's attitude towards gold reserves should be increasing.

In terms of the size of the economy, the US gold reserves are 8000 tons, and China should match 4000 tons.

But if China's economy is growing faster than the US, China needs to buy more gold.

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< p > < strong > now we have to buy gold < /strong > /p >

< p > it is rather one-sided to explain the gold reserve logic solely from the economic scale.

Rikaz is also a real long term envoy for money protection. "At least 10% of the investment portfolio should be placed in gold" has almost become his motto.

But Rikaz also analyzed the importance of gold reserves from the perspective of hedging.

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< p > according to the latest data from the US Treasury, China has held us $1 trillion and 272 billion 100 million since March of this year.

In those days, the debts were not urgent, and the creditors were anxious.

The introduction of quantitative easing (QE) has made the US dollar depreciate, and ultimately the creditors are still losing money.

"Many people say that China will dump US Treasury bonds, but I don't think so, because there is not enough market to pick up the market.

So the Chinese government can only think of ways to hedge this risk.

Rikaz means nothing more than hedging with reserve gold because the price of gold is inversely proportional to the value of the dollar, so that the proceeds can make up for the loss of investment in US debt.

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In the past two years, the price of international spot gold has been in a doldrums, and the attitude of "Chinese mother" as a representative of mass investors is very entangled with gold. Li Kates said that China strictly restricted overseas investment behavior, and the stock market was unhealthy, which was not conducive to investment. The interest rate of banks was low and the real estate industry had bubbles, so the only choice was gold. P

The implication is that there are not many choices and no need to act rashly.

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< p > "when the price of gold starts to soar, you buy it too late.

When you wake up, you can't buy it. Only then can a large family buy it.

Big banks, big organizations and billionaires are expected to buy, but ordinary investors will suddenly find that stores are empty.

It can only be priced without market.

So the best time to buy gold is now, "Rikaz said.

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< p > < strong > 4 trillion, how to save < /strong > /p >

Rikaz P is not very optimistic about the performance of China's economy in the next two years, but there is little concern.

First, in his view, the throes of economic slowdown and pformation have begun to release. The sooner the sooner the sooner the sooner the sooner the sooner the sooner the sooner the sooner the sooner the sooner the space will be available for adjustment. For example, the default of enterprises will be allowed to go bankrupt; two, four trillion of the foreign exchange reserves can not be converted into domestic money to save the reserve fund at once, but a portion of the conversion of the corresponding proportion can be realized, especially for the help of the banking system.

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< p > "if we envisage China a href=" http://www.91se91.com/news/index_c.asp "> Bank < /a > (2.70, 0.02, 0.75%) really big problems, the government needs to rescue hands, giving priority to helping savers, not those shareholders and equity holders," Li Katz states. "China should avoid" American style "bailout and avoid" big but not down ".

The Central Bank of China recently issued the 2013 report on China's financial stability, saying it will consider introducing and implementing the deposit insurance system.

The market understands this move to break the country's measures to save deposits.

Rikaz said, "so my advice to the Chinese leadership is not to learn from the United States and try to avoid mistakes made by the United States."

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