China raised dollars from their bonds a little while ago and today Evergrande has enough to pay off their debt once so it doesn't default. Obviously the situation there in China isn't good. Will China raise more money so other companies won't default? I don't know but if they did default, everything would of fallen apart so they had no choice.
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They fended off the first round of bonds but they are far from in the clear. Now we know why the Chinese raised the USD.
They are going to have a tough time keeping it all together. It is a question of confidence in international matters. We need to remember that when looking at these things.
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Yes but there are only so many treasuries they can sell before they need to buy off more from the open market. So this is just a band aid on the current situation. Evergrande has two types of bonds: yuan and USD. Obviously they released quite a bit of USD bonds because they were betting that the dollar would go down compared to the yuan.
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