Japanese Advisor to Finance Minister Declares China is Needed to Boost Dollar

After China’s foreign exchange reserves hit $2.27 trillion at the end of September the importance of the Asian country in boosting the ailing US dollar is highlighted by Toyoo Gyohten. Together with Japan who holds about $1 trillion in forex reserves the two nations are the biggest holders of US Treasuries.

Japan, China and the U.S. need to cooperate to stabilize the weakening dollar, said Toyoo Gyohten, an adviser to Japanese Finance Minister Hirohisa Fujii.

“Japan and China carry a heavy responsibility in the stability of currency markets,” Gyohten said today in Tokyo at an event hosted by the Foreign Press Center Japan. “Japan and China need to work together along with the U.S. to stabilize the value of the U.S. dollar.”

Bloomberg

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza