On June 18, China Merchants Bank (03968) fell 3.02% in regular trading, trading at 46.94 HKD/share, with turnover of HKD 335 million.

On the news front, China Merchants Bank recently completed the issuance of 20 billion yuan in perpetual capital bonds (Additional Tier 1), with a coupon rate of 1.99% for the first five years — down 6 basis points from the first tranche issued just two months earlier at 2.05%. The declining coupon reflects persistently falling market interest rates and intensifying net interest margin compression across the banking sector.

Industry-wide, banks have accelerated capital bond issuance amid weakening internal capital generation capacity. Total issuance of Tier 2 and perpetual bonds reached 986 billion yuan as of June 17, up over 60% year-on-year, with average issuance rates falling below 2%. The Diversified Banks sector traded broadly lower on the day, with ICBC down 3.12%, Bank of China down 1.88%, and CCB down 1.49%. Share-type banks have underperformed national banks and city commercial banks year-to-date, pressured by institutional selling and earnings headwinds.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)