China will reduce intervention in the foreign exchange market step by step as it pushes for foreign exchange reform gradually, said Zhou Xiaochuan, China's central bank governor, at the US-China Strategic and Economic Dialogue on Thursday.

But the central bank still remains cautious and will intervene in case of big market fluctuation. If the market remains quiet, the central bank will accelerate the reform process, he said.

 

Chinese finance minister says currency intervention necessary	Foreign companies yet to tap full potential of renminbi in trade