Celebrate! Hang Seng China Comp Rise on Positive Export News

CHAMPAGNE BOTTLE

Markets in China rose thanks to March exports rising year on year by 11.5%. Whether it’s real or a result of factories re-opening after 2 to 4 week closures and slowdowns due to the February start of the New Year celebrations remains to be seen.

Shanghai Hang Seng Dr

With minimal other Chinese market or economic news, (China gdp due Friday, 4/15), the rise can truthfully be attributed to the export news.

Large-scale developer China Vanke, HK 2202, with A-shares still suspended, announced a new debt issue: 1.375 Bill HK$, 2.5%, due 2019 under the 2 bill hkd medium term note program.  Proceeds for Working capital, investment & other general needs.  Rated Baa2 -Moody’s, BBB-S&P, BBB+ -Fitch.  Issued to Professional investors only in Hong Kong & outside US. Issuer: Bestgain Real Estate Lyra Limited, an indirectly wholly-owned subsidiary of the Company.

While the HSCEI index which Vanke is a constituent rose 3.95%, Vanke saw no change in its stock price.  One of the largest developer in China, Vanke demonstrates its ability to raise debt despite but its continued battle with Baoneng, has done little to raise its stock.vanke vs index

(China Vanke – Orange; HSEIC – Blue)

 

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