U.S. Treasury Secretary Janet Yellen started her first full day of meetings in China.Thursday as a spike in oil prices and fears the Federal Reserve might wait to cut interest rates dented investor sentiment. Thetopped $86 a barrel, its highest level since October. Minneapolis Fed President Neel Kashkari also said Thursday that he wondered if the central bank should cut rates at all if inflation remained sticky, joining recent Fed speakers talking conservatively about policy.
Yellen also said in prepared remarks for her meeting with Vice Premier He Lifeng that it was important for China to share national security-related economic actions and collaborate on climate change. Yellen is in the southern Chinese city of Guangzhou andto Beijing on Saturday before returning to the U.S. on Tuesday. She is also scheduled to meet with Premier Li Qiang, Finance Minister Lan Fo'an and Beijing mayor Yin Yong.
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