China's central bank has imposed differentiated reserve requirement measures on some small- and medium-sized domestic banks as part of its quest to tame inflation, the China Securities Journal reported on Friday.
US Federal Reserve Chairman Ben Bernanke said on Wednesday China's recent measures to control its inflation by raising interest rates is "surprising" and urged Beijing to let its currency rise.
Stocks on the Chinese mainland rose the most in three weeks as surging grain prices boosted agricultural companies and higher vehicle sales lifted automakers.
China's central bank is planning to use an indicator measuring total financing quantity and broader measures of money supply, such as M3 and M4, to better monitor liquidity conditions and curb inflation.
Persistently high international commodity prices have increased the Chinese government's concern about surging inflation, and financial experts advised taking better advantage of commodity futures to hedge risks.
Stocks on the Chinese mainland fell on the first trading day after the Spring Festival holiday, led by developers and commodity producers, after the central bank raised interest rates to tame inflation.
Chinese futures exchanges should increase cooperation with overseas futures institutions and play a more significant role to influence international commodity prices in 2011, Liu Xingqiang, president of Dalian Commodity Exchange, told China Daily.
The Chinese currency, or the yuan, on Thursday rose to a fresh high of 6.5849 against the US dollar, according to the China Foreign Exchange Trading System.
Yuan-denominated initial public offerings (IPO) are expected to be launched in Hong Kong this year for the first time as the city attempts to boost its role as the offshore yuan settlement center.
China sold a net 177.3 billion yen ($2.15 billion) of Japanese bonds in December, capping the biggest yearly decrease since at least 2005, after the yen and benchmark government debt fell in November.
The Chinese currency, or the yuan, rose 10 basis points from previous trading day to a fresh high of 6.585 against the US dollar Wednesday, according to the China Foreign Exchange Trading System.
The central bank on Tuesday raised interest rates for the third time since mid-October by another 25 basis points, to help mop up liquidity and tame surging inflation.