Foreign investors cut their holdings of Chinese bonds by more than $15 billion in March, in a record monthly retreat from the world’s second-largest bond market.
The selldown probably had several triggers, including concerns about the geopolitical risks of investing in China, broader economic uncertainty and the market’s diminishing yield advantage compared with U.S. bonds, analysts said. Last month, global investors also withdrew more than $7 billion from onshore Chinese stocks through a trading link with Hong Kong.
