China’s bond market slides as Evergrande’s 3rd missed payment hammers the property sector, while smaller rivals scramble to avoid default | Markets Insider

China’s bond markets were hit as some holders of Evergrande’s US bonds with coupon payments due Monday said they were yet to receive them, adding to the company’s crisis.

Evergrande missed making coupon payments on a 9.5% note due in 2022 and a 10% bond due in 2023, Deutsche Bank strategists said. Its bonds were last trading at between 21 to 22 cents on the dollar, according to the Financial Times. The developer’s total interest owed now amounts to $148 million.

Yields on an ICE index that tracks Chinese corporate issuers in the Asian dollar high-yield market have risen to 22% since Friday, the highest level since 2009, compared to 13% at the start of last month and 10% in June, the FT reported.

China’s bond market slides as Evergrande’s 3rd missed payment hammers the property sector, while smaller rivals scramble to avoid default | Markets Insider