Wednesday   3 February 2016 / Hour 2, Block B:  Andrew Collier, managing director of Orient Capital Research based in Hong Kong, in re: the adequacy of China's foreign exchange reserves.  Money fleeing China!  Around $1 trillion a year (or $911 billion, according to Ann Stevenson Yang). People leaving like rats escaping a ship.  The central govt has ordered people not to buy insurance in Hong Kong.  Can't do draconian controls as that wd turn the country into an autarchy and stop trade.  I think they have to devalue the RMB by 30%  Thirty per cent?  Actually, my opinion is that there’s no bottom to the RMB.  Note that New York hedgies are betting tens of billions shorting the RMB p betting that the RMB’s value will decrease in the future.  This is what George Soros did against the pound sterling.  . . . Intervention by PBOC?  They go to the mkt and sell dollars to buy RMB.  I disagree about comparison with Soros:  the pressure here is internal. IMF says that China needs $2.7 trillion to maintain a stable reserve.  But liquid?   It's forests and trees, and bank stocks.  People have no confidence in the leadership.  http://www.telegraph.co.uk/finance/economics/12134684/Time-running-out-for-China-on-capital-flight-warns-bank-chief.html
Time running out for China on capital flight, warns bank chief  'The Chinese have not been very convincing. There is a perception that the renminbi could weaken drastically,' warns the Institute of International Finance