China Development Bank (CDB) issued five batches of bonds amid steady demands on Tuesday. The five batches of bonds bear a maturity of 1 year, 3 years, 5 years, 7 years and 10 years, with the auction yields standing at 2.5046 percent, 3.2021 percent, 3.5393 percent, 3.8996 percent and 3.9004 percent respectively.
Statistics from China Government Securities Depository Trust & Clearing Co. showed that yields on the 1-year, 3-year, 5-year, 7-year and 10-year fixed interest rate policy bank bonds traded on the domestic interbank market stood at 2.5792 percent, 3.2291 percent, 3.5236 percent, 3.8636 percent and 3.8976 percent respectively.
Market players disclosed that the subscription ratios reached 4.73, 5.01, 3.48, 3.41 and 3.67 times the volumes offered. Insiders noted that domestic bond market was undergoing a round of correction as the stock market rose slightly and weighed on bonds. However, "investors are likely to divert some capital from stock market to bond market in the near future as bonds are still important safe-haven assets," said Huang Wentao, chief analyst with China Securities. These were the additional issue of the 10th, 12th, 13th, 15th and 16th batches of bonds offered by the bank in 2015.
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