From the Wires
China Reports Rare Decline In Foreign Reserves
BEIJING (AP) — China’s foreign reserves showed a rare decline in the final quarter of 2011 but still were by far the world’s biggest at nearly $3.2 trillion.
The reserves were $3.181 trillion as of Dec. 31, down about $20.6 billion from the end of the previous quarter in September, the central bank reported Friday.
The reserves are a side effect of exchange rate controls that require Beijing to buy most of the foreign currency that comes into China. But the country’s trade surplus has narrowed in recent months and some investors have been taking money out of the country, reducing total purchases for the reserves.
Foreign critics complain the controls keep China’s yuan undervalued, giving its exporters an unfair price advantage and hurting foreign competitors at a time when global governments are struggling to create new jobs.
The yuan has been allowed to gain gradually against the U.S. dollar in tightly controlled trading. But some American lawmakers are calling for punitive tariffs on Chinese goods unless Beijing acts faster.
China occasionally reports a decline in its reserves for a single month but a decline for a full quarter is rare.
The reserves declined steadily over the course of the quarter, falling from $3.274 trillion at the end of October to $3.221 trillion at the end of November.
Still, based on gains in previous quarters, the reserves rose by 11.6 percent for the year, up from $2.85 trillion at the end of 2010.
China’s global trade surplus last year narrowed by 34 percent from the 2010 level to $155.2 billion as export demand weakened due to U.S. and European economic problems.
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Online:
People’s Bank of China: http://www.pbc.gov.cn
Hundreds of salmonella cases tied to chicks
ATLANTA (AP) — Those cute mail-order chicks that wind up in children’s Easter baskets and backyard farms have been linked to more than 300 cases of salmonella in the U.S. — mostly in youngsters — since 2004.
An estimated 50 million live poultry are sold through the mail each year in the United States in a business that has been booming because of the growing popularity of backyard chicken farming as a hobby among people who like the idea of raising their own food.
But health officials are warning of a bacterial threat on the birds’ feet, feathers, beaks and eggs.
Continue Reading CloseAward-winning illustrator Leo Dillon dead at 79
NEW YORK (AP) — Leo Dillon, the groundbreaking illustrator who collaborated with his wife, Diane, on dozens of books for kids and adults and became the first African-American to win the Caldecott Medal for children’s books, has died. He was 79.
Dillon died May 26 at Long Island College Hospital from complications after lung surgery, publisher Scholastic Inc. announced Wednesday. Harlan Ellison, a close friend, wrote on his website that “Half my soul for 50 years went with him.”
Continue Reading CloseUS again imposes clean-energy tariffs on China
WASHINGTON (AP) — The Obama administration is moving to impose stiff new tariffs on wind-energy towers made in China, the latest strike in an escalating trade war over clean energy.
The Commerce Department said in a preliminary decision Wednesday that Chinese companies have received government subsidies on steel wind towers ranging from about 14 percent to 26 percent. The decision could result in tariffs of those amounts being imposed on about a dozen Chinese companies that export large numbers of steel wind towers to the United States.
It follows a Commerce Department decision this month to impose tariffs averaging about 31 percent on solar cells and panels imported from China.
China has called the U.S. action on solar equipment unfair and warned that higher tariffs could hurt efforts to promote clean energy.
US levies new sanctions on key Syrian bank
WASHINGTON — The Obama administration added new sanctions on a Syrian bank Wednesday as a top White House official said the U.S. wants to economically throttle the regime of Syrian President Bashar Assad and cut off salaries of pro-government thugs blamed for the grisly massacre in Houla.
The Treasury Department said the Syria International Islamic Bank has been acting as a front for other Syrian financial institutions seeking to circumvent sanctions. The new penalties will prohibit the SIIB from engaging in financial transactions in the U.S. and will freeze any assets under U.S. jurisdiction.
Continue Reading CloseCorps: Fort Peck Dam repair may top $225 million
BILLINGS, Mont. (AP) — The U.S. Army Corps of Engineers says the price tag on proposed fixes to Montana’s Fort Peck Dam following major flooding along the Missouri River could top $225 million.
But with money short, Corps officials said Wednesday they will be able to afford only $46 million in interim fixes for now.
Record snowfalls and massive spring rains in Wyoming and Montana last year prompted the release of unprecedented volumes of water from the Corps’ six Missouri River dams.
The torrent damaged Fort Peck’s spillway gates and eroded areas downstream from the dam, located at the top of the Missouri River system.
Fort Peck Project Manager John Daggett says the planned repairs will ensure the spillway can be used to safely release water during future flooding.
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