China’s dollar-denominated junk bonds hit new year-to-date lows after leading Chinese real estate developer Bei Guiyuan could default Investors are targeting such companies.
Among the stocks that make up Bloomberg’s Chinese dollar-denominated high-yield bond index, real estate-related Jindi Group, Yajule Group and Xincheng Development were the most notable performers on the 14th, all of which fell more than 10%. It’s down more than 20% this month, with corporate bonds belonging to Shinshiro’s unit down 53% in the past two weeks.
across China’s financial marketswarning signflashes, investors grow increasingly concerned about the health of China’s economy, and pressure builds on policymakers to act. A trust company affiliated with a financial conglomerate with more than 1 trillion yuan ($200 billion) in assets under management has delayed payments on some investment products amid a slump in new home sales over the past few months and disappointing economic data. .
It’s not just junk bonds that are sold in the Chinese credit market.
Dollar-denominated bonds from Longhu Group and Vanke Corporation, one of China’s few investment-grade private property developers, tumbled at least 5% on Monday, becoming the worst-performing constituent of Bloomberg’s high-grade bond index. Longhu’s unit reportedly made payments on bonds due this week, but Longhu’s bonds lost 24% in August, the largest of its constituents.
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Original title:Investors Zoom In on Other Builders After Country Garden’s Woes(excerpt)
2023-08-15 06:18:04
#Chinas #property #crisis #Wheres #Garden
