The pace at which emerging market economies are losing FX reserves is staggering. In March, emerging economies lost around $1.5 billion in foreign exchange reserves per day, according to Bloomberg. {image} Saudi Arabia alone lost $27 billion in reserves in March, according to Goldman Sachs, and it is one of the countries with the best capacity to endure the current crisis. China, that still hods $3 trillion in FX reserves despite the crisis, is also among the strongest countries in FX reserves, but the apparently large level is offset by a large US-dollar denominated debt liability. As such, China’s 60% of China’s ... (full story)