China Evergrande bonds suspended as prices slump

SHANGHAI : Bonds issued by heavily indebted developer China Evergrande Group plunged on Monday on growing investor worries over the company's ability to pay its debts, prompting China's stock exchanges to halt trading.

Shanghai exchange data showed the bonds sliding more than 25per cent to a low of 40.18 yuan after the resumption of trade on Monday afternoon, reflecting investor doubts that Evergrande will be able to repay investors in full on the bond's maturity next year. The slump in bond prices on Monday comes after China Securities Depository and Clearing Co. on Friday effectively erased their value for use in collateral repo trading by reducing the"conversion ratio" of the July 2022 bond to zero, effective Sept. 7.

Finance Finance Latest News, Finance Finance Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Australian economy must diversify to stave off China-shocks, treasurer saysSYDNEY : Australia is diversifying its economy to rely less on China, its largest trading partner, Federal Treasurer Josh Frydenberg will say on Monday, as he warned the country's businesses to brace for new tensions with Beijing.'It is no secret that China has recently sought to target Australia's econom Australian warmongers cause breakdown in relations with China. Whose fault is this? Morrison needs to change direction or else Australia continues to suffer. The other end of the world prefix will be the major obstacle to Aus hopes.
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »