you are viewing a single comment's thread
view the rest of the comments
[–] 2 points 23 hours ago* (last edited 23 hours ago)

This is what dedollarization looks like. They're creating demand for yuan. Buyers (banks and financial institutions) exchange CAD for yuan to buy the bonds. It does also allow financial institutions to diversify their holdings away from the US, which is increasingly seen as untrustworthy as evidenced by the rising 10-year US bond yields. Chinese 10-year bonds are going in the other direction.

  • source