Archive for the ‘China bond’ Category

After several failures, china government bonds issued success

Yesterday, China’s 15th government bond finally started trade.  The bond is fixed-rate bonds with a period of 3 years and 2.22% nominal interest rate. Before it, there are three consecutive times failure of the issuance of treasury bonds.

MR market.china is worry about the inflation, he is also doubted with the policy concerns of the central bank of china, this cause the yield of the short-term government bonds rapid rise,just look the picture of the right ,it is the INDEX OF CHINA BOND.  Also, this caused three consecutive failed bonds issue. And, China’s Ministry of Finance was forced to postpone the four local debt issuance.

I think we should pay attention to the signal of the failure of the bond issue, which indicates that the MR market’s expected is reversing, and there are some problem in the loan structure of these banks. Now the amount of the loan is create and creating the record of  china , we must pay attention to the efficiency of these loan , is it to the factory and family? Or it just been used to invest house? just like chinese idiom said: overkill.

At the same time,China’s investment in government bond  of the United States broke the 800 billion U.S. dollars  now, continue to be the largest investor in the bond market of USA. At the same time, the “bond king”  Bill Gross is still sale out their own bond of USA, Gross managed the size of 161 billion U.S. dollars of funds,the holders of government bonds from 28% (March) , reduced to 24% (June) , Holders of mortgage debt assets  from 61% (May) to 54% (June) , it is the lowest level over the past two years. At the same time, Japan, Russia and many other countries are selling their U.S. Treasury bonds. At the same time, we are still buy and buy, more and more.

Gross warned investors care of the risk with dollar-denominated assets earlier in a television interview, now every American currently has 40,000 U.S debt, Chinese investors are very worried that our depreciation of the investment in USA. And many chinese people is worry about Clinton’s action, she is still tell the world and China’s neighboring areas , china is a threat , some observers of china said, business just is business, if we just use business profit to face the pressure of Clinton, if we just help USA but ignore the voice of ” china threat” theory. we will failed.

China add to hold 23.7 billion U.S. dollars public debt in March

By the end of March, the Chinese holding U.S. government bonds 767,900,000,000 U.S. dollars, increased more than 23.7 billion U.S. dollars than that of February, stll be the top of the largest holders of U.S. public bonds, many chinese experts worry about the risk of depreciation of the dollar.

BIG NEWS:China central bank cuts interest rates–1.08 percentage point!

Just 2 hours agao,China central bank said from tomorrow,china central bank will cuts interest rates 1.08 percentage point!

The lending and deposit rates will cut 1.08 percentage point all,I think this is a big signal shown china will try his best to keep spur growth,In china there have a little voice about if we invest too money to keep and spur growth,maybe at the end chinese economy will become too hot.So China central bank shown their goal is more care of growth rate.

I think china will face a winter in last year,there have many people need a job,so goverment had to spur growth,but I think economy trend is always change,so we must remember keep another hand at the same time,now we just hidden this hand at the back,but if there really too hot,we must shown another hand to control “too hot”.

This news will make stock market of china rise up again,a advice about buy shares of china market again had been reported,so it is a short chance to get profit for china investor.And it is a chance to buy china bond too.

China’s central bank:we will maintaining growth

Yesterday,governor of China’s central bank:Zhou Xiao Chuan said China will try our best to help stabilize the global finanical crisis by maintaining ourself growth of economy.

I agree Mr Zhou’s words,the first goal of china in global finanical crisis is not let china drop in financial crisis,china have 1/6 people of the world,and china have not enough money and technology for support a long time financial crisis,so the best way to defeat finanical crisis is not let China drop in finanical crisis.

Chinese government had said tomorrow’s first goal in economy area is maintaining growth,I think this is a hard task for chinese people.No any country can support long time growth of economy by maintaining a high house price,we only can support our long time economy growth by create value,by our heart and hand,and brain,not by the price of asssets,why global finanical crisis?Because people’s greed,because lost the power of control,because so high price of asset,because somebody spend money but not creat the same value.So chinese must study from the finanical crisis,change the way of economy growth.

Yesterday I read a funny news about how some bank face finanical crisis,Naked female staff calendars were sent to customers,is it helpful?I do not know. : – ))

MOC remark on the restrictive measures about Chinese dairy products

The spokesman of China’s Ministry of Commerce remarks on the restrictive measures about Chinese dairy products on Friday.The spokesman said that Chinese food safety watchdogs had strengthened supervision of exported dairy products,the measures is very effective and all the exported dairy products passed melamine test.He said,China ask the fair treatment of Chinese diary products and keep the normal trade activities.
Milk contamination events lead to Chese milk faith crisis in home market and abroad, although the milk pass the melamine test, but the consumer’s heart hurt is difficult to heal in a short period of time.

ICBC holds $152 mln of Lehman Brothers-related bonds

The Industrial and Commercial Bank of China announce both its mainland and overseas branches held a total of 151.8 million U.S. dollars in bonds of or related to the bankrupt U.S. investment bank Lehman Brothers.
ICBC shares dropped by the daily limit of 10 percent to 3.42 yuan (50 U.S. cents) on Wednesday in the domestic stock market.
Bank of China slid 6.31 percent to 2.97 yuan.It is reported to have extended 50 million U.S. dollars in credit to Lehman.

I got 15 percent profits now

In last Fri,I had reported I buy 600030,Now I got 15 percent of the profits form this trade.Because Financial and Economic Committee expressed the concern of the slowdown in economic growth rate today,Market guess goverment will relax monetary policy speculation,So financial shares rose quickly,especialy 600030,the largest security company in china, rose nealy 6 percent today.And real estate shares rose quickly too,but I think raal estate shares will face winter,And I think chinese bond will face a winter too.

7 day period and the 14 day period Offered Rate rose together – Information Center – Finance

Our reporter Zhou Wen-yuan

Requisitioning affected by the new shares, November 20 Shanghai Inter-bank Offered Rate seven day period and the 14 day period of interest rates both rose. 7 day period following the interest rate rose yesterday after rising 95.65 points today again, at 3.9973%; 14 day period interest rates rose 100.9 points at 4.4996 percent. The overnight call rate slightly down at 1.8926 percent. (China Securities News中证网)
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The central bank issued 07 Section 124 central bank bills withdrawn from circulation 11.5 billion yuan – Information Center – Finance

Xinhua URGENT: Central Bank on the 20th to price in the open market through tenders issued in 2007 124th of central bank bills, and interest rates are tender manner the repurchase operation, the two open market operation tools were taken out of circulation funds 11500000000 yuan.
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The central bank on the 20th issued 07 Section 124 central bank bills – Information Center – Finance

— URGENT: Central Bank on the 20th to price tender with a 2007 124th issue of central bank bills, the circulation of 3.5 billion yuan, for one year, issue price 96.16 yuan, reference yield 3.9933 percent.
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