China's January forex reserves rise to $3.088 tril

Holding this much reserves only makes sense if China has a large amount of US dollars and its keeping its currency pegged to the US so it can exercise more control over US dollar rates. Also, it works to hold large amount of back up currency that is not linked to your currency as a way of hedging against the fall of your own currency and protecting your economy in such an event.

Alternatively it suggests that China has identified a figure of foreign reserves that it needs to maintain in order to accomodate a market governed Currency..... So where is the Yuan valued in the unofficial market these days ?