The Chinese government is putting in efforts to stabilize the currency markets. The central bank of the country adding verbal support to the exchange rate following a drop in the currency's value in the past week against the green back to point that was lower than a key level.
In the second quarter, growth in China's economy remained almost at level with the first quarter but to keep the growth rate steady, the economy is paying a heavy price with a strong pace of credit creation.
A brighter spot was noticed in China's economy with reports showing that lending and consumer spending in the country moved up in the latter half of the June quarter. That signals at the success of stepped up monetary and fiscal policy by the Chinese government.