| The pace of decline in China’s external currency reserves is accelerating, feeding panicky selling of the yuan and heralding a likely change in China’s exchange rate arrangements. Exchange rate pressures in China are spilling over to regional currencies and global stock markets.
In January alone, China lost $US99.5 billion of its dollar reserves trying to keep the yuan in its 2 per cent official fluctuation band around 6.5419 to the US dollar. In just 15 months the Chinese have lost more than $US650 billion in reserves, more than the total reserves of any other country save Japan...............................................Full Article: Source
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