China SAFE: Impact from coronavirus epidemic on economy is temporary
China’s foreign exchange regulator, the State Administration of Foreign Exchange (SAFE), said in its latest statement release, the impact of a coronavirus outbreak on China’s economy would be temporary, per Reuters.
The country’s foreign exchange reserves — the world’s largest — rose $7.57 billion in January to $3.115 trillion.
External environment remains complex and severe, global financial markets face uncertainties.
Expects China’s fx reserves to remain overall stable.
China's long-term, sound economic fundamentals unchanged.
Sound economic fundamentals good for stable fx market operations.
Despite the conciliatory tone seen in the statement, the risk sentiment deteriorates further in the European session, especially after Singapore’s government lifts the country-wide virus warning level to be on par with SARS epidemic after the rise in locally transmitted cases.
The Antipodeans slide nearly 0.60% to multi-month lows while USD/JPY revisits daily low at 109