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Finance Minister hails Chinese bond issuance as evidence of warming relations (www.theglobeandmail.com)
submitted 2 days ago by to c/canada@lemmy.ca
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[–] 1 point 1 day ago* (2 children)

Who are the buyers of this bond that is, according to the article, ten times oversubscribed? This seems to be just a propaganda move as not much tangible is said here.

It would also be interesting to know how many tankies bought this bond. I mean, if they are convinced that China's economy is the future, they should do it, right?

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  • [–] 1 point 1 day ago (1 child)

    Commercial banks bought 45% of the issued amount, outpacing central banks and sovereign wealth funds.

    Bloomberg

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  • [–] 1 point 14 hours ago* (last edited 14 hours ago)

    I have read this, but it isn't too revealing. 80 percent of buyers come from Asia, but it's not said which banks and funds exactly.

    It's also unclear why they sell a bond in Canada that is listed in Hong Kong.

    It's more a propaganda move that anything else imo, also because the offshore RMB bond market is invisibly small (around USD 15 billion in market cap: the onshore market is thousand times larger and exhibits lower correlation to other asset classes afaik, although it's unclear why this is).

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