In a communiqué issued following their meeting in Rome at the weekend, G7 finance ministers adopted milder language than recently regarding China's handling of its currency. Tim Geithner, US Treasury secretary, also used a more conciliatory tone towards Beijing than he did last month, when he accused China of manipulating its currency to benefit exporters.

Hillary Clinton, US secretary of state, will this week become the first senior member of the new administration to visit China as analysts look for clues as to how Washington will handle one of its most important economic relationships.

In a speech before she left, she labelled a “positive, co-operative relationship” between Beijing and Washington as “vital to peace and prosperity, not only in the Asia-Pacific region but worldwide” and also announced the resumption of military contacts between the two nations.