Global markets fixate on China’s currency play
In today's Breakfast with Benjamin, markets wonder if the Chinese yuan is the next shoe to drop. Plus: Notes on the default risk rising in China's dollar-denominated debt, President Obama's latest tax grab, and rolling 401(k) assets into a pension plan.
- Is the Chinese Yuan the next shoe to drop? The Swiss currency move has turned up the head. A currency peg that is becoming difficult to maintain
- Money managers around the globe are fixated on a Chinese property management company, which could represent the first shock in a wave of defaults for the country’s massive dollar-denominated debt. Chinese companies comprised 62% of all US-dollar bond sales in the Asia-Pacific region ex-Japan last year
- The financial sector is digging in ahead of Obama’s $110 billion bank tax proposal. It amounts to an expansion of last year’s $50 billion tax plan, and will include money managers and insurers. ‘Sector-only tax’
- Bet you didn’t know you can now roll 401(k) assets into a pension fund, assuming you are one of the lucky few to have a pension fund. Pension plans often use more favorable annuity tables
Learn more about reprints and licensing for this article.