The Reason Behind The Upgrading Of Euro Financing Role Is China.

Chinese companies are selling renminbi bonds in the euro area to raise funds overseas, and the recent implementation of QE in the euro zone has sparked a ripple in the global capital market.

Data released by Dealogic, a data consultancy, show that mainland Chinese companies have sold Euro nominal bonds worth 2 billion 900 million euros so far during the year, which was only zero in the same period last year, and the euro value bond issuance in 2014 was only 3 billion 300 million euros.

At the same time, recent China

Avoid selling Renminbi denominated bonds in the offshore market, that is, "dim sum debt".

The total issue of debt issuance is only $250 million this year, much less than that of the previous 3 months of last year, but the US dollar lending is still stable and high, and this year the debt volume has already been $16 billion 300 million.

The issue size of the point debt is related to the recent stagnation of the renminbi's rise. Earlier this year, Hongkong's offshore RMB bonds fell by 50% this year, which led to a sharp rise in the cost of borrowing in Hongkong due to the falling trend of the renminbi.

Data collected by the media showed that the issuance of dim sum debt dropped to 26 billion 200 million yuan (4 billion 200 million US dollars), compared with 55 billion 600 million yuan in the same period last year.

The overnight interbank lending rate in Hongkong has increased by 204 basis points since the end of last year, hitting a record 8.6% in February 6th, which is more than two times higher than the average of 2.5% in the past year. During that period, funds also entered Hongkong from Hong Kong through Hong Kong and Hong Kong.

Warren Buffett's company plans to issue the euro for the first time.

To join the ranks of American companies that use Europe's ultra-low borrowing costs to finance.

Reported that Buffett's Berkhire Hathaway Inc (Berkshire Hathaway) is on the other side of the Atlantic, trying to make use of the very low borrowing costs of issuers in Europe.

Buffett is not known for borrowing money in the European market, but according to people who know what he thinks, he has hired Deutsche Bank, Goldman Sachs and Bank of America Merrill Lynch to prepare for potential euro bond issuance.

This is part of a trend: American companies are taking advantage of the huge demand and high pricing of Euro denominated bonds.

The central bank (ECB) has gained momentum before launching its monetary stimulus plan to buy treasury bonds this month.

Some experts have questioned the fact that non-agricultural reports are so beautiful.

Yes, employment growth is indeed much higher than expected, and unemployment rate has also dropped unexpectedly. But it is worth noting that wage growth is still weak.

Therefore, some market participants interpret the newly released February non farm report as a combination of angels and demons, and the "devil" in the report may disturb the Fed's "interest rate increase plan".

Data released by the US Department of labor on Friday (March 6th) showed that the number of non farm employment increased by 295 thousand in February, an increase of 235 thousand people and an increase of 257 thousand in the previous year. The unemployment rate in the United States dropped to 5.5% in February, a 7 year low, with 5.6% expected and 5.6% before.

But it is worth noting that the US payroll data is weaker than expected, which may limit inflation in the US and inflation remains a "big worry" for the FED when the job market has basically recovered.

In February, the average monthly wage rate of the United States increased by 0.1%, an increase of less than expected 0.2%, an increase of 0.5% in the previous period, an average annual increase of 2% in hourly wages in February and an increase of 2.1% over the previous month.