tyb
Chinese Asset Manager Suffers Bond Selloff After Delaying Results
Debt from one of China’s biggest asset managers has plunged in value, sending tremors through the market for U.S. dollar bonds of Chinese companies.
The selloff in bonds issued by China Huarong Asset Management Co., a giant state-owned financial institution, came after the company missed an end-March deadline to release its 2020 financial results. Investors dumped its bonds, sending some of their prices down to as low as 60 cents on the dollar, according to Tradeweb, indicating they see a high likelihood of default.
Defaults by state-backed Chinese companies have become more common in recent years, as China has tried to dispel the idea that it will always make creditors whole. Investors are now grappling with the possibility that this new approach could extend to a company as large and important as Huarong—a major player in Chinese finance with about $22 billion of offshore debt and investment-grade ratings from global credit raters.
Huarong, which is majority owned by China’s Ministry of Finance, is the largest of four asset managers that were created by Beijing in the late 1990s when the country’s banks were struggling with large portfolios of bad debt. At the time, Huarong and its peers bought nonperforming loans from China’s biggest state-owned banks and worked to dispose of them by auctioning off and selling the loans to other investors, including foreign banks.
https://www.wsj.com/articles/chinese-asset-manager-suffers-bond-selloff-after-delaying-results-11618496945
Senate, House to hold hearings with major bank CEOs in late May
Rep. Maxine Waters of California and Sen. Sherrod Brown of Ohio announced Thursday that the House Financial Services Committee and the Senate Banking Committee will hold hearings featuring the CEOs of the nation's largest banks, including JPMorgan Chase & Co JPM, 0.15%, Bank of America Crop. BAC, -3.14%, Citigroup Inc. C, -0.58%, Wells Fargo & Co. WFC, -0.73%, Goldman Sachs Group Inc. GS, 0.93% and Morgan Stanley MS, -0.31% during the final week in May. Brown, an Ohio Democrat, will be holding the Senate hearing on Wednesday, May 26 at 10 a.m. Eastern Time, while Waters, a California Democrat, will convene the House hearing on Thursday, May 27, also at 10 a.m.
https://www.marketwatch.com/story/senate-house-to-hold-hearings-with-major-bank-ceos-in-late-may-2021-04-15
especially with that.
JPMorgan to Sell $13 Billion of Bonds in Largest Bank Sale Ever
JPMorgan Chase & Co. is poised to sell $13 billion of bonds, setting a record for the largest bond sale ever from a bank, according to data compiled by Bloomberg.
The longest portion of the five-part offering, a 31-year security, is expected to yield 107 basis points above Treasuries, according to a person familiar with the matter. The sale comes a day after JPMorgan reported strong first-quarter earnings, including a 15% increase in fixed-income, currency and commodity trading revenue and a $5.2 billion release from its credit reserves. Rival Goldman Sachs Group Inc. is also selling bonds Thursday.
The previous largest sale by a bank also came from JPMorgan, a $10 billion offering in April 2020, the Bloomberg-compiled data show.
JPMorgan is the sole bookrunner of the sale, and the proceeds are marked for general corporate purposes.
https://www.bnnbloomberg.ca/jpmorgan-to-sell-13-billion-of-bonds-in-largest-bank-sale-ever-1.1590849
>>45676, >>45678 pb
RCH587T USAF C-5 Galaxy back to Travis AFB from Peterson AFB overnight-inbound from Los Alamitos JB, LA yesterday
>>45788 pb
TITAN25 USAF E-4B Nightwatch sw from London-Stansted Airport ground stop-origin Brussels Int'l
Sec. of Defense returning from stops at Tel Aviv, Berlin, Stuttgart, Brussels and ne of London at Stansted
JF001 and JF002 JASDF 777's continue se to Washington D.C. from Tokyo Haneda Airport