Chinese forex reserves end-Oct

  • Gold reserves $75.348bln vs $78.169 prev
  • gold reserves 59.240m fine troy oz vs 59.110m prev

$45.7bln fall in fx reserves is the biggest mm drop since Jan. Lowest overall total since March 2011

The expected fall in reserves in the month driven by FX intervention, negative currency valuation effects, and capital loss on fixed income investment has outstripped expectations.

A few more months like that and reserves heading down through $3trl will only accelerate the concerns.

PBOC - Continued intervention is dwindling reserves at alarming rate