China Construction Bank (CCB) spokesman clarified the false report of CCB holding bonds issued by Fannie Mae and Freddie Mac of the United States on 23 July.

The spokesman expressed that some media reports on “CCB holding bonds issued by Fannie Mae and Freddie Mac at a worth of US$7 billion” are absolutely groundless and are based on deliberate misrepresentation.

The spokesman went to lengths to analyze that despite the fact that losses of both United States mortgage giants have expanded and their stocks are falling, thanks to government subsidies, prices of their bonds on issue are free from obvious fluctuation as predicted. Therefore, their bond holders do not yet have to face up to the pressure of revaluation of the bonds and the risks of credit default.