Money Matters - Simplified

foreign reserves

China's troublesome trade surplus shrinks

Beijing -- China Wednesday said its monthly trade surplus fell in September from $20 billion to $16.9 billion, although exports rose 25 percent in the month.

Imports jumped almost as high, climbing 24 percent, The New York Times reported.
Along with the trade figures, China said its foreign reserves reached a record $2.65 trillion with an additional $194 billion added in September.

UBS economist Wang Tao said, "The trade surplus is coming down, but it's still going to be $180 billion this year. And the reserve figure was $194 billion. That's huge."