Greater China

What a lot of fuss over nothing. At least that’s the view from bankers in Asia when asked about the recent turbulence in the region’s stock markets.

Global equity and debt markets rallied on Tuesday, while volatility subsided, after the People’s Bank of China cut its one year lending rate. But for hard hit emerging markets, more pain could be on the way.

Several former bankers from Royal Bank of Scotland have joined new institutions recently, as the UK firm continues to dismantle a large part of its Asia business.

Everbright Securities Co navigated cautious markets on its first outing to dollar bonds, thanks to the presence of anchors orders and a standby letter of credit (SBLC) from China Merchants Bank’s Shanghai branch. As the first triple-B rated SBLC backed trade, it has set a benchmark for future issues.

Bank of Qingdao Co, a Chinese city commercial lender, is considering a Hong Kong listing this year. Citic CLSA Securities and Goldman Sachs are joint sponsors, with Rothschild acting as financial adviser.

It’s tough being a banker. Long hours, stiff drinks, more stiff drinks, and some work in between. At least that’s how it was in my day.

Szekely departs StanChart HK DCM – CBA boosts Asia loans – Capital Markets Malaysia gains new chief – China Renaissance hires new M&A co-head

Mizuho has bolstered its corporate acquisition finance team with a new hire as it strengthens its Asian capabilities.

Rate cuts delivered by the PBoC this week have calmed global equity markets somewhat. In China's rates market a short-end led rally steepened the curve as an initial reaction. Looking forward though, currency market perceptions will be key. Deutsche Bank is amongst those expecting China to take a more sensitive approach with the yuan, writes Maia Ririnui of Total Derivatives.

As the dust settles on a few days of equity insanity, it’s worth recognising that what happens in the Chinese stock market needn't mean much for other emerging markets.

The collapse of Chinese stocks and the continued drop in the price of oil, along with the ripple effects those have had in exchanges worldwide, have shocked market participants and the broader public, but among ECM bankers many think the collapse could not have come at a better time.

CEEMEA is busy digesting a noxious stew of falling oil prices, crashing equity markets and heightened EM bond fund outflows. But the asset class is proving more robust that during previous crises.