Yuan Depreciation a Concern for Asian Bonds, Citigroup's Verma Says

The video discusses the recent changes in the Asian dollar markets, highlighting the improved valuation argument and the associated risks, such as rising US Treasury yields and China's market volatility. It emphasizes the importance of differentiating between credits with lower refinancing and liquidity concerns. The discussion also covers the impact of defaults in China and the recent fiscal and monetary stimulus, which could ease accessibility to funds for small and mid-cap corporates. Additionally, the video explores the potential destabilizing effects of currency depreciation on emerging markets and the implications of global bond yield fluctuations, particularly in relation to the Bank of Japan's policy decisions.

What fiscal and monetary measures were discussed that could affect small and mid-cap corporates?

What concerns are raised regarding the depreciation of the currency and its effects on emerging markets?

How might the behavior of local Japanese corporates change in response to market conditions?