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BEIJING,Aug 17(Xinhuanet) -- China reduced its holdings of U.S. Treasury debt for a second straight month in June while the holdings of Japan and Britain rose.China's holdings fell by billion to 3.7 billion, a decline of 2.7 percent, the Treasury Department said Monday in a monthly report on debt holdings.Total foreign holdings of Treasury securities rose .6 billion to a total of trillion, an increase of 1.2 percent.The debt figures are being closely watched at a time when the US government is running up record annual deficits. A drop in foreign demand would lead to higher interest rates in the United States. The yield on Treasuries rises when fewer people invest in them.It would start with the US government paying more interest on its .3 trillion national debt and then ripple through the economy. Consumer loans such as home mortgages and auto loans track the yields on Treasurys, so they could rise, too.So far, interest rates in the United States have remained extremely low. A weak economy has depressed borrowing by the private sector and the Federal Reserve has kept a key interest rate at a record low level of zero to 0.25 percent in an effort to spur stronger growth.US interest rates have also been kept low by the European debt crisis in the spring. That triggered more investment in US Treasurys, which are considered the safest investment in the world because the US government has never defaulted on its obligations.China is the largest foreign holder of Treasury securities. The billion decline in China's holdings in June followed a .5 billion drop in May. China's holdings had hit a high for this year of 0.2 billion in April.There are concerns that China could influence US interest rates by rapidly selling off its holdings of US debt. That could lead others to dump their holdings and result in a spike in interest rates.But analysts say China is more likely to sell a little bit at a time."While it would hurt the United States if China started selling off our securities, it would hurt China just as badly because it would drive down the value of their holdings," said David Wyss, chief economist at Standard & Poor's in New York.Wyss predicted that China will slow its acquisition of new US government debt while diversifying its holdings. Wyss said that process has already begun, noting China's recent acquisition of energy and other natural resource holdings in Latin America and Africa.Japan, the second largest foreign owner of Treasury bonds, increased its holdings in June to 3.6 billion. That's an increase of .9 billion or 2.5 percent. Britain's holdings rose 3.5 percent to 2.2 billion.Japan had for years been the No 1 holder of Treasury securities, but was overtaken by China in September 2008.New government data showed that Japan lost its place as the world's second largest economy in the second quarter of this year. China moved up from No 3 to the No 2 spot, behind the United States.While the data on total economic output was for the second quarter, analysts believe China is on track to surpass Japan for the entire year and become the world's second largest economy.The US Treasury report said that net purchases of long-term securities, a category that covers not only US government debt but also debt of US companies, increased by .4 billion in June after rising .3 billion in May.
BEIJING, June 13 (Xinhua) -- Flights have resumed at Beijing Capital International Airport after a thunder storm hit the city at 8 p.m. Sunday causing disruptions, the airport announced on its website.The storm had delayed a total of 170 out-bound flights and canceled 25 fights as of 9 p.m., according to the announcement.The airport suspended flights at 7:40 p.m. Sunday due to the storm, which stopped at about 9:30 p.m..The National Meteorological Center forecast heavy rain for central Hunan, eastern Jiangxi, Zhejiang, and Fujian provinces as the country begins Monday its three-day national holiday.Thunder storms are forecast for Inner Mongolia, the northeast, and the north during the next three days.

PULADI TOWNSHIP, Yunan Province, Aug. 23 (Xinhua) -- Yu Xiaoming sits on a wooden bench, flanked by his two best friends. His white-and-blue striped shirt is incongruous with the shack his family lives in.Yu had worn this shirt for his only sister, who bought it for him while she was still alive. On Aug. 18, torrential mudslides swallowed an iron mine factory where his sister worked as a cook, burying her.It will take some time for the 16-year-old to heal. His father passed away soon after he was born. And now, the loss of another loved one in a family of four is too much for the introverted 16-year-old to deal with.Yang Zhenmei, a volunteer psychology counselor from the provincial capital Kunming, traveled 930 km to the disaster area to offer help for young people like Yu.She held a brief psychological intervention session with the boy, had patient conservations with him and told him to refrain from aggressive behavior. She also told him to call her if he feels overwhelmed by difficulties.But not many people are as lucky as Yu, who receives the kind of psychological services rarely seen in Litoudi Village, a remote mountainous village in China's southwest Yunnan Province, which borders Myanmar. In a village with a population of a little more than 150, medical resources are scarce.Litoudi Village has only one doctor. Usually, local residents have to travel seven km to be treated in a hospital at the township seat of Puladi.Soon after the mudslides, about 130 doctors and nurses from Gongshan and Fugong Counties rushed to the scene, though none of them had previously received psychological training, except for a handful of doctors who had taken psychology courses back in college.Moreover, the focus of the medical services in the immediate aftermath was on treating the injured, helping rescuers with minor injuries and preventing outbreaks of diseases.Authorities have said 92 people were killed or remain missing following the massive mudslides that swept the village.Torrents of mud and gigantic stones smashed and buried the Yujin Iron Mine and about 10 civilian residences at 1:30 a.m. Wednesday. Most of the victims were local residents and migrant workers at the Yujin Iron Mine.The government has not released the number of people needing psychological assistance in the village. The village population is about l50, though some 380 relatives of the victim have temporarily settled into 20 tents or villagers' homes. "The number of people suffering psychological wounds and prone to having extreme actions is small. It's a mudslide and the chances of survival are slim. If people did not have extreme reactions in the first two days, they will somehow accept reality." volunteer counselor Yang said.However, she still suggests creating a mid- and-long term plan to help local residents, by which she meant to train some villagers or young people as volunteers and help local residents suffering from stress brought on by the loss of loved ones.Unlike the situation following the magnitude-8.0 Sichuan earthquake in 2008, when thousands of volunteer counselors and psychological experts went to the quake-devastated zone to offer help, only about 300 volunteers came to Litoudi Village.
BEIJING, July 22 (Xinhua) -- China and Japan will on July 27 hold the first round of negotiation on the implementation of the principles of consensus concerning the East China Sea issue.The decision came after a meeting between Chinese Foreign Minister Yang Jiechi and his Japanese counterpart, Okada Katsuya, on the sidelines of the ASEAN Ministerial Meeting in Hanoi, according to Foreign Ministry press release Thursday.The decision was reached after consultations between the two nations' relevant departments, foreign ministry spokesman Qin Gang said in the release.According to Qin, the two countries' foreign ministers expressed their satisfaction about the state of China-Japan relations in their meeting.
UNITED NATIONS, June 29 (Xinhua) -- "China is both a strong supporter for and an active participant in the South-South Cooperation," a senior Chinese official said here Tuesday.Yi Xiaozhun, the Chinese vice minister of commerce, made the statement as he was delivering a keynote speech at the Development Cooperation Forum, sponsored by the UN Department of Economic and Social Affairs, at the UN Headquarters in New York."This year marks the 60th anniversary of China's technical assistance to other developing countries through South-South Cooperation," Yi said. "It also marks the 31st anniversary of China as a beneficiary of the UN development assistance system."Promoting South-South Cooperation and "help each other among the developing countries" is the centerpiece of development cooperation, he said. "As the developing countries are at similar levels of development and facing similar economic and social development problems, they can better appreciate the development needs of each other.""China supports the 'Beyond Aid' initiative proposed in the UN secretary-general's report and emphasizes the need for enhanced policy coherence, host country ownership and capacity building over cash assistance," he said."With the concept of 'blood generation over blood transfusion', China believes that it is better to help host countries build long-term sustainability than to resort to short- term interventions and be overly dependent on foreign aid," he said. "An integrated and holistic approach should therefore be adopted by incorporating trade, investment, technology transfer, capacity building and other elements into the development policies. ""Developing countries should also take the initiative into their own hands in order to identify the policies and solutions most responsive to their own needs," he said."China has tried similar approaches and learned some useful lessons," he said."First, providing non-politically conditioned assistance to developing countries," he said.
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