Explore stories from Atlantic Canada.
SHANGHAI - China's financial regulators are investigating a month-end liquidity crunch that saw short-term money rates surge to as much as 50%, asking some institutions to explain why they borrowed at extremely high rates, three sources said.
The overnight rate for pledged repo - a short-term financing business - hit a record high of 50% on Oct 31, as a month-end scramble for cash and a flood of government bond sales caused stress in money markets. The China Foreign Exchange Trade System , a central bank affiliate that operates China's interbank market, has asked institutions that settled trades on Tuesday at the 50% rate to submit explanations, according two sources with direct knowledge.
"Anyone who borrowed money at very high rates need to explain to regulators the decision-making and bidding process," said another direct source.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Sowerby Woman Wins $82,437.50 in SAHF 50/50 DrawDebbie Taanman, a woman from Sowerby, Ontario, won $82,437.50 in the Sault Area Hospital Foundation (SAHF) October 50/50 draw. The win is significant as her husband was a cancer patient at the hospital.
Read more »
ALEX ROBERTS: A report card, eight years after Justin Trudeau’s first victoryExplore stories from Atlantic Canada.
Read more »
BHP to invest another $4.9 billion in Jansen potash project in CanadaExplore stories from Atlantic Canada.
Read more »
BHP to invest another $4.9 billion in Jansen potash project in CanadaExplore stories from Atlantic Canada.
Read more »
European shares lifted by real estate stocks; BP drags energy sectorExplore stories from Atlantic Canada.
Read more »
Berkshire Hathaway sells $25.8 million worth of shares in China's BYDExplore stories from Atlantic Canada.
Read more »