SHANGHAI (Reuters) - China’s foreign exchange reserves rose $18.23 billion in June to $3.119 trillion, central bank data showed on Monday.
Economists polled by Reuters had expected China’s reserves, the world’s largest, would rise $2 billion to $3.103 trillion as hopes for a trade truce with the United States helped to ease downward pressure on the yuan currency.
The yuan has been very sensitive to developments in the year-long China-U.S. trade dispute, which has increased pressure on an already slowing Chinese economy.
Leaders from both countries agreed a ceasefire in late June while talks resumed, but existing tariffs remained in place.
China’s State Administration of Foreign Exchange (SAFE) said the rise was due to changes in currency conversion rates and asset prices.
Despite a complex global economic situation, the resilience and opening up of China’s economy will support stability in its foreign exchange market, SAFE said in a statement.
Source Reuters