Asia Debt Sales Drop to Five-Week Low as Costs Rise on Fed Bets
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Asian borrowers sold the least U.S. dollar-denominated bonds since mid-July last week, as funding costs and bond risk rose on expectations the Federal Reserve will trim stimulus next month.
Korea Development Bank and Franshion Properties China Ltd. raised $450 million, the least since the week ended July 19, data compiled by Bloomberg show. The cost of insuring Asian corporate and sovereign bonds rose 23 basis points through the same period as average yields rose 25 basis points, the most for both measures since the five days ended June 21, according to credit-default swap traders and JPMorgan Chase & Co. indexes.