China’s US$21 trillion bond market limps back to normal as real-time data-feed ban is lifted
- Wind Information and Dealing Matrix resume bond pricing services in the world’s second-largest market, data feed from Qeubee yet to restart
- Trading volumes slid 10.7 per cent on Wednesday, official data showed, while some traders saw a plunge of as much as 80 per cent in the past two days
China’s onshore bond traders were once again able to access data feeds on Friday, after a sudden regulatory ban earlier this week roiled the nation’s US$21 trillion bond market, causing volumes to slump by as much as 80 per cent at some institutions.
Third-party platforms Wind Information and Dealing Matrix resumed real-time bond pricing services for clients, while Qeubee, a platform popular with onshore traders, and money broker Shanghai Tullett Prebon Sitico were yet to restore data feeds to their clients.
The move to reverse the ban provided relief to thousands of traders in the world’s second-largest bond market. However, questions about China’s regulatory uncertainties remain.
“Sell and buy activities have basically returned to normal,” said one trader.
Some traders who could access pricing from third-party platforms said they still had to rely on other trading software, such as iDeal, an information, messaging and trading platform offered by China Foreign Exchange Trade System (CFETS), which is directly managed by China’s central bank.
Trading volume fell 10.7 per cent on Wednesday to 1.27 trillion yuan (US$184.7 billion) in China’s onshore bond market, according to CFETS.