China Builders Lead Dollar-Bond Declines as Asia Debt Risk Rises

Chinese property developers are leading a decline in dollar-denominated bonds sold by the nation’s issuers this year as Asian credit risk climbs to the highest in almost four months.

Notes sold by Yuzhou Properties Co., a builder based in the coastal city of Xiamen, fell almost 5 cents below its issue price, leading losses by 78 percent of fixed-rate bonds sold by Chinese and Hong Kong borrowers since Dec. 31, according to data and prices compiled by Bloomberg. A gauge of Asian corporate and sovereign bond risk is on track for its highest close since Oct. 2, according to Australia & New Zealand Banking Group Ltd. and data provider CMA.