A central bank official has denied the market speculation that China would reduce its dollar-denominated assets in its foreign-exchange reserve portfolio.

The speculation aroused after head of the country's forex authority Hu Xiaolian said at a work conference on Jan. 5 that China would improve the monetary structure and assets structure of its forex reserves.

By the end of last June, China had held forex reserves of more than 700 billion USD with the greenback taking the largest share.

A senior analyst with China Merchants Bank thought the forex administration was likely to add more strategic assets like gold and oil to the forex reserve mix.

By People's Daily Online