Hungary has become the first Eastern European country to issue a yuan-denominated sovereign bond.
The deal that shows how currying favor with China may be a more important driver for the market than funding.
Reader Steve who sent me the story commented on Hungarian mortgages denominated in Swiss Francs only to see the Franc jump over 20% in value overnight.
“Pretty clever guys!”, said Steve.
Anyone think this is a good idea?
The Wall Street Journal reports Hungary to Issue Dim-Sum Bond as It Seeks to Curry Favor With China.