Debut Price Spikes of China’s Special Treasury Bond Likely Due to Limited Supply, Sources Say
Listen to the full version

The sharp price swings that China’s first 30-year special treasury bond experienced in its first day on the secondary market were likely due to retail investor enthusiasm and a limited supply available on stock exchanges, sources told Caixin.
The price of the 40 billion yuan ($5.6 billion) bond, issued Friday, hit daily limits twice on both the Shanghai and Shenzhen bourses on Wednesday. The price surges triggered two trading suspensions on each exchange over the course of the session. The second stoppage lasted until three minutes before the end of trading.

Unlock exclusive discounts with a Caixin group subscription — ideal for teams and organizations.
Subscribe to both Caixin Global and The Wall Street Journal — for the price of one.
- DIGEST HUB
- China's first 30-year special treasury bond, valued at 40 billion yuan ($5.6 billion), experienced sharp price swings on the secondary market due to retail investor enthusiasm and limited supply, triggering multiple trading suspensions.
- The bond closed up 1.3% in Shanghai and 19.7% in Shenzhen on its first trading day, but hovered around face value on the interbank market.
- The proceeds from the bond are intended to address funding shortages for major national projects, with a planned issuance of 1 trillion yuan in ultra-long special treasury bonds this year.
- PODCAST
- MOST POPULAR