This is not 'fresh news', I referred to it on Wednesday (but only briefly):
China plans to set up debt market links between Hong Kong, mainland
(i.e. opening bond market to HK ... this would be like a 'connect' for the bond market)
Bloomberg have a more extensive piece up, even though details are light at this stage:
- China will allow investors to buy mainland bonds in Hong Kong this year, Premier Li Keqiang said at a briefing Wednesday, adding to recent moves to ease access to the nation's debt market.
- He didn't provide further details.
- "This is what the country needs, and Hong Kong has the platform," Li said.
- "The opening of the onshore bond market is the big story for this year," said Tommy Xie, an economist at Overseas-Chinese Banking Corp. in Singapore. "This bond connect is part of this story. It will give more channels to offshore investors. The current foreign holdings are still very low."
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This is not the only 'big deal' that's gone a bit unnoticed this busy week, Adam had this earlier today: This (potentially) huge FX story was buried in all the other news
i.e. US administration strategy
- could shift towards creating a North American bloc rather than plotting the United States against the world. That would help maintain access to cheap Mexican labor and abundant Canadian resources but still insulate the United States from some global competition.
A marked change from the anti-Mexico campaign rhetoric, which was just 'vote for me' garbage. It did the job, though.
