China's foreign exchange reserves are expected to reach 2 trillion U.S. dollars

Although last year's four quarter and the first quarter of this year, China's foreign exchange reserve balances have declined, but with the gradual economic stabilization since March, industry insiders expect this year in the two quarter of China's external reserve will show monthly growth trend, and very likely at the end of June has already broken 2 trillion U.S. dollar mark.　　By convention, the central bank will release data from the end of June in a few days. A number of people interviewed by the agency said that in the foreign trade surplus and foreign direct investment (FDI) to maintain basic stability on the basis of foreign exchange accounted for the steady growth of the two-quarter reserve month to climb the important force.　　Most agencies believe the 2 trillion trillion dollars have been exceeded by the end of June. In fact, although the first quarter of China's external reserve increased by only 7.7 billion U.S. dollars, less than 146.2 billion U.S. dollars, but March foreign reserve growth has begun to accelerate, the month of a steep 41.7 billion U.S. dollars.　　By the end of March 2009, the balance of national foreign exchange reserves was 1.9537 trillion U.S. dollars, only 46.3 billion dollars from the 2 trillion mark.　　China Merchants Securities concerned that the appreciation of the renminbi and the desire for corporate residents to recover the impact of the exchange rate of two quarters growth will be significantly rebound.　　According to the central bank data, as at the end of May, China's financial institutions foreign exchange accounted for the balance of 17,658,751,000,000 yuan, of which May financial institutions new foreign exchange accounted for 242.565 billion yuan, the increase was the highest since this year, which is also foreign exchange accounted for two consecutive months of growth.　　Jianfang, chief macro economist at Citic Securities, told the Shanghai Securities Daily that some international capital would regain interest in investing in China as the economy bottomed out, and that foreign exchange accounts would likely maintain a steady upward trend over the next few months. It is noteworthy that the deputy Director of foreign exchange, Wang Xiaoli, June 10 in Tianjin, said the financial crisis, the second half of last year, China's capital outflow increased, and capital inflows fell.　　But there have been signs of an increase in capital inflows to China at a time when China's economy is showing signs of recovery. Foreign Exchange Bureau, deputy director of the balance of payments Tao Tao recently also pointed out that the current net inflows of foreign exchange funds still fall, but the chain has increased.　　Oversupply of foreign exchange is still facing the main contradiction. Wang Tao, China economist at UBS, said the growth in foreign exchange reserves had fallen markedly in the 4 quarter of 2008 and rebounded from 1 to May in 2009. The future reserves will continue to accumulate and will add 300 billion dollars throughout 2009.