The crisis of China's real estate US dollar bonds has become so extreme. An analyst that has been concerned about since the market was established in 2005 that it is no longer possible to analyze meaningful analysis.
According to Bloomberg, LOOMIS Sayles Investments Asia PTE senior analyst Feng Zhiwei said: "The market is no longer available, which is very frustrating." In 2005Work in the credit research department of Barclays Capital.
With the unprecedented level of breach of contract, the price of China's offshore real estate bonds has fallen to a record low, reflecting a serious dilemma.The market plunge was initially due to the government's excessive debt raising and speculative behavior of buyers since 2020. Later, it deteriorated because of epidemic prevention restriction measures that exacerbated the landslide of residential sales.
The market value of investment -level Chinese real estate bonds has shrunk by about 23%in the past month, while Bloomberg (except Japan) USD Credit China Investment Class Return Index has fallen by 7%.The index shows that the current average bonds of these better developers are about 73%of the face value, while 88%a month ago, and about the surface value level at the end of 2021.
Feng Zhiwei said: "The fundamental analysis of the industry and company's operations and financial data has made rumors in the market." Continuous defaults have intensified this situation, especially those who have been considered relatively strong or have always been always considered to be relatively strong or have been always.Developers who released performance on time and re -financing arrangements did not show that they would immediately fall into trouble.
The situation of garbage -level companies is worse.According to Bloomberg Asia (except Japan), USD Credit China ’s high returns in China’ s high returns, the average price of Chinese high -yield bonds, which is mainly issued by real estate companies, fell to a record low of 50.2 US dollars per 1 US dollar.
Feng Zhiwei said: "This price is definitely unreasonable for the normal market, but it is reasonable for the" blind box market "that cannot be analyzed.When we are confident, we will return to a field of policy risks. "
