China markets team leader, senior correspondent, Shanghai, China
Pete's Feed
Apr 16, 2014

China gets first bitcoin ATM, skirting bank crackdown

SHANGHAI (Reuters) – BTC China, one of the country’s leading digital currency exchanges, has installed China’s first bitcoin ATM and launched an online app allowing individuals to buy and sell bitcoins using mobile phones, skirting local banking regulations seen as increasingly hostile to so-called crypto-currencies.

Rising interest from mainland Chinese speculators was credited for driving up global bitcoin prices last year to above $1,000 on some exchanges. But a subsequent crackdown by the People’s Bank of China (PBOC) has seen the digital currency sag, changing hands below $530 on Wednesday, according to exchange-tracker CoinDesk.

Apr 6, 2014

Deadbeat Chinese shipyards stick banks with default bill

SHANGHAI, April 7 (Reuters) – Chinese banks are stuck in a
lose-lose legal battle between domestic shipyards and foreign
buyers over billions of dollars in refund guarantees that are
supposed to be paid out if shipbuilders fail to deliver on time.

One in three ships ordered from Chinese builders was behind
schedule in 2013, according to data from Clarksons Research, a
UK-based shipping intelligence firm. Although that was an
improvement from 36 percent a year earlier, it was well behind
rival South Korea, where shipyards routinely delivered ahead of
schedule the same year.

Apr 4, 2014

Capital flows, improving trade to prop yuan up in second-half

SHANGHAI (Reuters) – The rare and dramatic slide in the yuan exchange rate that has shaken the outlook for the currency is unlikely to last long as trade rebounds and capital inflows resume.

While most foreign exchange traders have abandoned their original forecasts of a 3 percent appreciation in the Chinese currency against the U.S. dollar, they still expect the yuan to end 2014 up a net 1 percent, around 6.0 per dollar.

Apr 3, 2014

Near-bankrupt Chinese property firm offers lesson in lending risks

FENGHUA, China (Reuters) – To understand why many of China’s small property developers are struggling, look no further than Zhejiang Xingrun Real Estate.

The once little-known regional developer is now on the brink of becoming one of China’s biggest real estate bankruptcies in recent memory.

Apr 3, 2014

Analysis – Near-bankrupt Chinese property firm offers lesson in lending risks

FENGHUA, China (Reuters) – To understand why many of China’s small property developers are struggling, look no further than Zhejiang Xingrun Real Estate.

The once little-known regional developer is now on the brink of becoming one of China’s biggest real estate bankruptcies in recent memory.

Mar 18, 2014

Chinese property developer at risk of massive loan default-sources

HONG KONG/SHANGHAI, March 18 (Reuters) – A Chinese property
developer owing billions of yuan to banks and individuals is on
the verge of insolvency, and its owner has been detained for
illegal fund-raising, government sources in the city where the
company is headquartered told Reuters on Tuesday, confirming
domestic media reports.

The state-owned China News Services, quoting anonymous
sources, reported on Monday that Zhejiang Xingrun Real Estate
Co, based in Fenghua city in eastern Zhejiang province, is on
the brink of bankruptcy, owing 15 domestic banks 2.4 billion
yuan ($388.5 million) and individual investors another 1.1
billion.

Mar 16, 2014

In doubling yuan trading band, China aggravates foreign investor concerns

SHANGHAI (Reuters) – The Chinese central bank’s decision to relax its grip on the yuan has been welcomed as a sign of financial liberalization, but it is aggravating concerns among foreign executives and investors about their exposure to China in the near term.

The doubling of the trading band from Monday points to much greater downside risk in a currency that many investors have treated as a one-way appreciation bet for years, even when the yuan’s daily trading range was expanded in the past.

Mar 15, 2014

China doubles yuan trading band, seen as sign of confidence

SHANGHAI (Reuters) – China’s central bank loosened its grip on the yuan on Saturday by doubling the daily trading range for the currency, adding teeth to a promise it would allow market forces to play a greater role in the economy and its markets.

Analysts said the move was a sign of confidence that the central bank had successfully fought off a plague of currency speculators, and at the same time signalled that regulators believe the economy is stable enough to handle more promised reforms going forward.

Mar 15, 2014

China doubles yuan trading band, brings more risk to FX market

SHANGHAI, March 15 (Reuters) – China’s central bank doubled
the daily trading band for the yuan on Saturday, underscoring
efforts to add more volatility and risk to the currency to make
it more responsive to market forces.

The People’s Bank of China (PBOC) said the exchange rate
will be allowed to rise or fall 2 percent from a daily midpoint
rate it sets each morning. The change is effective
from Monday.

Mar 12, 2014

After landmark default, Chinese bondholders face major challenge to recover funds

SHANGHAI (Reuters) – Chinese investors caught out by the country’s first default of a domestic bond face formidable obstacles to ever recovering any funds from the deeply indebted solar equipment maker.

Shanghai Chaori Solar Energy Science and Technology Co Ltd failed last Friday to pay an 89 million yuan ($14.6 million) interest payment on a 1-billion-yuan, five-year bond it issued in 2012.

    • About Pete

      "Pete Sweeney is Senior Markets Correspondent at Reuters, focused on bond, forex, interbank and equities markets. Previously editor of China Economic Review, a Hong Kong-based monthly magazine focused on providing news and analysis on the mainland economy. Sweeney came to China as a Fulbright scholar in 2008, and conducted research on Chinese business policy in Hangzhou, Harbin and Chengdu. He has also lived and worked in Belgium, Ecuador and the U.S. He speaks Chinese, at the expense of his Spanish."
      Hometown:
      Arlington, Virginia, US
      Joined Reuters:
      March 2012
      Languages:
      Mandarin, Spanish
      Awards:
      Fulbright Scholar
      Foreign Languages and Area Studies Scholar
      Boeing Merit Award
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