China’s State Administration for Foreign Exchange with their latest bulletin

  • warns on impact of Fed tapering but believes emerging markets will be able to cope
  • pace of Fed QE exit has great uncertainty
  • will promote yuan capital account convertibility
  • China c/a surplus to GDP ratio to stay in reasonable zone
  • China 2013 capital account surplus $326.2 bln
  • China 2013 current account surplus $182.8 bln
  • Global liquidity won’t see massive fall in short-term