China Dollar Bond Demand Surged in August Despite Evergrande
This article is for subscribers only.
Appetite for Chinese dollar notes bounced back in August even as concerns about China Evergrande Group weighed on the nation’s broader junk-bond market and spurred average monthly yields on that debt to their highest in at least eight years.
Orders for Chinese offerings were 7.7 times their issuance size last month, the highest in year, though total sales remained rather muted given the seasonal summer slowdown. That compares with an oversubscription ratio of 4 in July, the lowest since 2019, according to Bloomberg-compiled data of available deal statistics.