Free Trial

No Liquidity Crisis from Bond Defaults after Govt Interventions: News

CHINA PRESS

Recent bond defaults in China are not enough to trigger a liquidity crisis as the PBOC pumped liquidity into the system and local governments intervened to quell the panic, the Shanghai Securities News reported citing Industrial Securities. Some high-risk bonds have started to rebound and there has been an across-the-board rise in government bond futures, the newspaper reported citing Wind data. Credit defaults may still lead to a repricing of credit risks and companies may face difficulties obtaining credit guarantees, so financing costs may become higher for some recipients, according to Industrial Securities.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.