BBC reports Chinese central bank governor Zhou Xiaochuan has accused “speculative forces” of targeting China’s yuan currency, and said China would not let international speculators dominate market sentiment.
China financial markets are set to reopen Feb. 15 after a week’s holiday. Zhou was interviewed in Caixin financial magazine.
An all-out shorting of China’s currency was triggered by statements Jan. 20 by George Soros, British agent and “legendary” hedge fund manager, currently trying to stimulate great hostility to both Russia and China. Soros, also a big Hillary Clinton factor and the biggest Barack Obama factor in 2008, was then joined by nearly a dozen other hedge funds in shorting the Chinese currency. When the first round of this fight ended Feb. 5, as many currency positions had to be closed out before China’s holiday week, the hedge funds were losers. Zhou was warning them of more of the same.
It is of note that the New York Times on Sunday devoted a great deal of print space to an article cheering on capital flight from China, “Chinese Are Losing Faith in Their Currency.” It is almost a “how to” manual, with anecdotes and examples, on beating China’s regulations and exporting large amounts out of the country or spending them abroad.