Chinese bond issuers out in force

A trio of Chinese issuers are preparing to launch benchmark offshore bond offerings this week, hoping to take advantage of a risk rally in US Treasuries that is pushing credit spreads tighter.

Benchmark 10-year US Treasuries were trading around the 1.75% level during New York hours on Monday, down almost 19bp since a recent 1.94% high on April 26.

However, Asian sales desk said secondary trading activity was fairly muted as investors await deals by State Grid Corporation, China International Capital Corporation CICC and ICBC Leasing.

State Grid

The Aa3AAA rated state-owned entity is preparing to issue its first...