Forex Blog

September 13, 2011

Italy Says China-Based Investment Firm to Buy Bonds

Italian officials announced that China Investment Corporation (CIC) was expected to buy Italian bonds in a bid to support Italy’s financial system. The news come as Italy’s cost to borrow hit a new record high that pushed yields on five-year bonds to 5.6 percent from 4.93 percent.

CIC is China’s largest sovereign wealth fund. It has over $400 billion in assets and is wholly-owned by the Chinese government.

Source: BBC News

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