China Asked State Banks to Keep Record of Government Bond Buyers

  • Banks told to log buyers of bond sales on a daily basis
  • Authorities are seeking to cool massive bond market rally

Pudong's Lujiazui Financial District in Shanghai.

Photographer: Qilai Shen/Bloomberg
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Chinese regulators asked some of the nation’s biggest banks to note down a record of the buyers of the sovereign debt that they have sold, a subtle sign that authorities are trying to rein in speculators to cool an unprecedented bond rally.

Financial regulators this week told state-run banks to log the details of the counterparties that purchase long-dated government bonds on a daily basis, said people familiar with the matter, requesting not to be named discussing a private matter. It’s the first time such a request has been made to the lenders involved, the people said.