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July 29, 2006


Another Reason To Be Long the Renminbi

S&P Upgrades China’s Credit, Citing Reforms, by Jason Dean

Standard & Poor’s Ratings Services lifted its long-term sovereign credit rating for China to A from A-minus. It cited the huge foreign-exchange reserves generated by China’s booming exports, a stockpile of hard currency on track to surpass $1 trillion this year and one that far exceeds China’s outstanding foreign debt.

One trillion pieces of green-colored paper looking for a home.

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