Fund managers positive on high-yield credit in China Indonesian government bonds also popular with investors Important to monitor default risk in China
TOKYO, March 9 (Reuters) - Global investors fleeing a shakeout in U.S. and other developed market bonds are finding harbour in the higher yields and relative stability offered by Asian junk-rated debt.
The rise in long-term yields in major economies to multi-year highs is reminiscent of the 2013 taper tantrum, except that India, Indonesia and others in Asia aren’t seeing the selloff in bonds and currencies they did back then.
Now, with the backing of stronger economies, less profligate governments and healthier current accounts, the region is becoming a refuge for yield seekers.
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MILAN (Reuters) - Italian aerospace and defence group Leonardo last year forgave $300 million of related-party debt of its DRS unit, which is now preparing for a listing on the NYSE, the unit said in a filing to the U.S. Securities and Exchange Commission.
After the transaction, New Jersey-based DRS recorded a fall in its total net debt to $427 million last year from $712 million in 2019, according to the filing.
The forgiven debt was part of a $2 billion credit agreement between Leonardo group’s 100% owned subsidiary US Holding and DRS and provided for a term loan maturing in 2022, paying a 7.5% interest rate.
A gauge of global stocks headed for its biggest one-day percentage climb in a week on Tuesday as a fall in U.S. Treasury yields eased concerns the economic recovery could overheat and lead to stronger-than-expected inflation.
A gauge of global stocks headed for its biggest one-day percentage climb in a week on Tuesday as a fall in U.S. Treasury yields eased concerns the economic recovery could overheat and lead to stronger-than-expected inflation.
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LONDON, March 9 (Reuters) - Liberty Steel has adequate financing to meet its current requirements and is seeking long-term alternatives, its owner Sanjeev Gupta told British trade unions on Tuesday, after major financial backer Greensill Capital went into administration.
Trade unions had demanded assurances about Liberty, which is Britain’s third largest steelmaker with 3,000 workers and part of the Gupta family’s GFG Alliance conglomerate, after Greensill Capital filed for insolvency on Monday.
The insolvency filing came after Greensill Capital lost insurance coverage for its debt repackaging business. It said in its court filing that GFG Alliance, which is its largest client, had started to default on its debts.