Oil may touch $75 as China hedges US Treasury risk

MUMBAI: After falling from $147 to $35 per barrel towards the end of last year, crude oil has once again gained and touched $45 per barrel on increased speculation that China


The Asian giant, which has been building a national oil stockpile since 2004, is planning to stock 100 million barrels by next year, Japanese business daily Nikkei reported last week.

China has about $2 trillion in foreign reserves, the largest in the world. It put Japan behind as the No 1 holder of US Treasuries last September. Two-thirds of China’s foreign reserve assets are said to be dollar denominated, according to the business daily.

Economic Times