Mike posted this news as it was announced, just a follow up.
- The Reserve Bank of Australia will invest up to 5 per cent of its foreign currency assets in Chinese sovereign bonds
- The People’s Bank of China has approved an initial quota of about $1.9 billion (the RBA’s foreign currency holdings are at $38.2 billion in total)
- This is the first Asian bond investment for the RBA outside of Japan
RBA to put $1.9bn, 5pc of currency assets, into Chinese sovereign bonds
Reserve Bank to invest $1.6bn in China
AUD/USD is around 1.0275/80. Its a quiet market at present with both New Zealand and Australian markets closed for a holiday today.
