China's Central Bank Short Of Capital - NYT
21:18 EDT Thursday, September 04, 2008
DOW JONES NEWSWIRES
The People's Bank of China, the mainland's central bank, has begun discussions with the finance ministry on measures to shore up its capital, the New York Times reported, citing people familiar with the discussions.
The bank has bought around $1 trillion worth of Treasury bonds and mortgage- backed debt issued by Fannie Mae (FNM) and Freddie Mac (FRE), and has been on a buying spree in the U.S. over the past seven years, NYT said.
Conversion rates from the dollar to the strong Chinese currency makes the investment value even smaller, the paper said on its Web site.
NYT called the central bank and the ministry "ferocious rivals."
Full story: http://www.nytimes.com/2008/09/05/bu...
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http:// www.djnewsplus.com/al?rnd=kXPiw57%2F... You can use this link on the day this article is published and the following day.
(END) Dow Jones Newswires
09-04-08 2117ET
Copyright (c) 2008 Dow Jones & Company, Inc.
