China's Bond Rout Deepens as Policy Bank Yield Tops 5 Percent
- Yield on China Development Bank bonds rises 16 basis points
- “Funds will probably continue to flow out,” Shen Bifan says
This article is for subscribers only.
The selloff in China’s bond market worsened Wednesday, with the yield on a quasi-sovereign issuer exceeding 5 percent for the first time since 2014.
The 10-year yield on China Development Bank notes was 16 basis points higher at 5.04 percent as of 4:50 p.m. in Shanghai, resulting in the biggest spread in three years against similar maturity government notes -- whose yield rose four basis points to 4.03 percent.