Gold reserves increase while forex reserves drop in April

China's foreign exchange reserves dropped to $3.2008 trillion as of the end of April, while gold reserves increased for the 18th consecutive month, the State Administration of Foreign Exchange (SAFE) said on Tuesday.

The country's foreign exchange reserves were down by $44.8 billion, or 1.38 percent, compared with the end of March, SAFE said, ending a two-month streak of increase.

The administration said that the country's foreign exchange reserves declined amid a rising US dollar index and falling global financial markets, adding that China's solid economic fundamentals will help foreign exchange reserves stay generally stable going forward.

Meanwhile, China's official gold reserves reached 72.8 million ounces at the end of April, up from 72.74 million ounces a month earlier, marking the 18th consecutive month of increases, according to SAFE.