This site uses cookies to provide you with a great user experience. By using BondbloX, you accept our use of cookies.
Bond Market News
China Sovereign Wealth Fund Buys Banks Shares
China’s sovereign wealth fund, Central Huijin Investment, bought about $65mn of shares in top four banks of China, namely Bank of China (BOC), AgBank of China, China Construction Bank (CCB) and Industrial and Commercial Bank of China (ICBC). According to the filing, the fund plans to further increase the holdings over the next 6 months. The move was seen as a support measure for the declining stock prices leading to the speculation that the government will intensify its efforts to support the sinking stock market. For instance CSI 300, is down 37% from 2021 highs. Since 2015, this is the first time the government has bought shares to support the market. Concerns are mounting over the growth rate of China’s economy due to the ongoing property crisis and rising deflationary pressures.
The dollar bonds of these banks did not react much to the news. For instance, Bank of China’s 4% 2028s traded flat at 94.5 cents on the dollar, yielding 5.29%.
For more details, click here
Go back to Latest bond Market News
Related Posts:
BondbloX Pte. Ltd. is regulated by the Monetary Authority of Singapore as a Recognised Market Operator ("RMO") and exempted from Section 49(1) of the Securities and Futures Act (Cap. 289) ("SFA") under Section 49(7) of the SFA.