China’s Developer Bond Slump Deepens as Selling Spreads Onshore
- Local notes’ plunging prices trigger trading suspensions
- Kaisa dollar bonds lead declines in junk-rated dollar debt
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The selloff in Chinese property dollar bonds intensified on Thursday amid signs of cracks emerging in the nation’s much larger onshore market.
Kaisa Group Holdings Ltd. led declines in the nation’s offshore bonds as a financial product it guarantees missed a payment, while Shimao Group Holdings Ltd.’s 4.75% dollar note due 2022 was poised for its biggest drop on record. China’s dollar high-yield debt fell for the 10th day in 11 after yields climbed above 21%. Trading was halted in two yuan bonds after they plunged more than 20%.