Chinese dollar demand propels BoCom bond

Strong onshore bid shows Chinese investors are still looking for dollar-denominated paper.

Bank of Communications BoCom returned to the offshore bond markets for the second time this year on Tuesday, building up a predictably strong order book for a new $1 billion dual tranche issue by its offshore leasing subsidiary. 

The ongoing lack of dollar supply from Chinese credits combined with heavy redemptions and renewed renminbi weakness, all ensured a strong bid from onshore Chinese accounts and a peak order book that topped $5 billion.

This was higher than the $3.5 billion order book Bocom built up in late January when it was last in the market with a $500 million issue by its Hong Kong...

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