Country Garden's bonds tick higher as buying continues after downgrade

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Country Garden's bonds tick higher as buying continues after downgrade
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GimmeCredit downgraded the dollar bonds to deteriorating from stable and said the company 'is in a downward spiral.'

The bonds of Chinese developer Country Garden Holdings were downgraded to deteriorating from stable by research company GimmeCredit on Wednesday in the latest blow to the troubled company.

The move comes just days after GimmeCredit published a note titled “Imminent default,” which also warned of trouble ahead. That led Moody’s Investors Service to cut its rating further into junk-bond territory and raised concerns about contagion across China’s highly indebted property market after other defaults including from China Evergrande Group in the last two years.

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