"The composition of foreign exchange reserves is presently regarded as
a state secret in the People's Republic of China. All financial
records pertaining to the foreign exchange reserve have been poorly
documented. The official sources elaborate that US dollar holdings
make up 60% of the reserve, and that a fifth (up to 400 billion USD)
of the reserve is held in Fannie Mae and Freddie Mac bonds. As of June
2008, the PRC held USD 447.5 billion of US agency bonds[1]. "

Here are my questions:  Is this article double-dipping when they say
that "US dollar holdings make up 60% of the reserve, and that a fifth
(up to 400 billion USD) of the reserve is held in Fannie Mae and
Freddie Mac bonds."  So the way to interpret this is:  A TOTAL of
their reserves in USD is 60%.  The 20% that they have in Fanne/Freddie
bonds is included in this 60%???????

I read the number $771 B somewhere too but cant re-locate it for you to
read.. India buying all that gold and China talking about a new currency
  with Russia stirring up anti-dollar chatter.  We NEED to fear the day
that the petrol currency becomes something other other than the US Dollar.

Here are a couple links about what your wanting to know.

http://www.washingtonpost.com/wp-dyn/content/article/2006/01/09/AR200...

http://www.prospect.org/csnc/blogs/beat_the_press_archive?month=10&ye...

We floated a lot of crap paper on them and IMO they are being really
cool about it.. that bothers me.. Why would China be cool about it?

Yea they NEED the USA to consume , after all it IS our role in the
current scheme of things.  Only they got =burnt= from the housing ATM
Machine model.  New model is mineral based.  They are consuming our
precious resources at a trade for 'jobs' value,  while saving there own
resources for their next generations.

We have sold them our materials and our jobs.  They bribed us with cheap
toasters, cameras, electronics, everything we used to have jobs for
here. We even sold them the tooling and the machinery used in these
jobs.  USA business sold off everything but the buildings. They got it
all..  while we got layoffs and joblessness and a housing market that
the economy cannot support.

They aint consuming any US resources.

What resources they are consuming come from places like Australia
and Brazil and aint anything even remotely resembling anything like
precious either, just basic stuff like iron ore that will last for centurys.

And even someone as stupid as you should have noticed that the
US buys fuck all aircraft, military hardware, movies, TV shows,
music, PC software, pharmaceuticals, cars etc etc etc from china.