China: Clinton encourages China to buy U.S., China promises security and liquidity when using foreign reserves

U.S. secretary of state Hillary Clinton encouraged China to continue investing in U.S. treasury bonds, after meeting with Chinese foreign minister Yang Jiechi on the weekend. Mrs. Clinton maintained that U.S. debt was still a sound investment. The Chinese foreign minister responded with a promise to ensure security and liquidity when investing with foreign reserves. In September 2008 China became the biggest holder of U.S. debt, with a total of 585 billion dollars.

Links and sources:

China stresses security, liquidity when deploying foreign reserves, Xinhua

Clinton urges China to keep buying Treasury bonds, Associated Press