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Forex reserve needs: Thailand gains as China wanes

IMF data shows Beijing's foreign currency holdings less than 'adequate'

If China starts leaking foreign capital, there may be little room for Beijing to use its foreign reserves to buttress the yuan.   © Reuters

TOKYO -- The escalating trade tussle between the U.S. and China is fueling uncertainty about the future of the global economy. And if history is any guide, it shows that worldwide economic unrest often starts in financial markets.

If the world is hit by a full-blown economic crisis, the financial resilience of many emerging economies will be put to the test.

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