Chinese policymakers are now determined to show their financial markets are back to normal, after the devaluation of the yuan, or renminbi, coupled with wild swings in its stock markets caused jitters in markets around the world.
China's Central Bank Governor Zhou Xiaochuan told financial leaders from the world's 20 biggest economies over the weekend that Chinese financial markets had almost completed their correction after a steep run up in stock prices in the first half of the year.
"Currently, the renminbi to dollar exchange rate already tends toward stability, the stock market adjustment is already roughly in place and financial markets can be expected to be more stable," Zhou told G20 finance ministers in Turkey, according to a statement from the central bank.
Zhou's comments, coupled with pledges from regulators to deepen financial market reforms, had limited impact in stabilising China's stock markets on Monday, which closed before the release of the reserves data.
The CSI300 index of the biggest stocks in Shanghai and Shenzhen closed down 3.4 percent, while the Shanghai Composite Index was 2.5 percent lower, in the first day of trading following a four-day long weekend.
Chinese equity markets have fallen 40 percent since mid-June, despite the authorities unleashing a volley of policy responses to try and stem the falls.
China's stocks regulator said late on Sunday that it would take more steps to ensure stable markets.
"The government won't normally intervene, but when there are severe, abnormal fluctuations in the markets, the government can't just sit on the sidelines and must take decisive and timely measures," the China Securities Regulatory Commission said.
It added it would consider launching a circuit breaker system for the country's stock indexes, to halt trading if there are particularly wild price moves.
Last week the China-based investment community was put on edge following media reports that the China chairwoman of Man Group Plc, Li Yifei, had been taken into custody to help with a police probe into stock market volatility.
However, Li told Reuters on Monday that the reports were incorrect, saying she spent last week in industry meetings and then took a 5-6 day trip to meditate.