Yu Yongding Is No Ding Dong on the Dollar

Yu Yongding – and I dare you to say that name with a straight face – the only non-government member of the Chinese central bank monetary committee and an economist with the Chinese Academy of Social Sciences, says that China's current management of the foreign exchange reserves, by investing heavily in US treasuries, is neither profitable nor safe.

"We are actually exporting capital to fulfill the saving-investment gap in the US, and we are sacrificing lucrative investment returns for low-yielding returns in US treasury bonds," said Yu.

Yu said that China faces huge risks from a possible US dollar decline and said that China must take "urgent" measures.

Read all about it here: http://tinyurl.com/l628d

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