China Wanda bonds halve in value since January, “Its really bad, moving in one direction” | Forexlive

The Wall Street Journal with the report on Chinese shopping-mall operator Wanda Properties and the slashing of their junk bonds:

• In January, Wanda Properties sold a $400 million bond, then another a month later, raising hopes of a junk-bond revival.
• Now, Wanda has been downgraded, its bonds have lost half their value and no other Chinese company has sold a high-yield bond.

In the piece a fixed income trader is quoted:

• “It’s really bad,”
• “Think back to the global financial crisis. That wasn’t as messy as this. There was two-way action then, but this feels like things are moving in one direction.”

The Journal is gated but here is the link for more if you are interested.