Would like to point that this entire move, in a way, has been engineered by PBOC. When the rest of the world was busy cutting rates, PBOC was guiding rates higher and liquidity tighter - would confidently say that staying long bonds/received rates in China has been a pain trade for most foreign players. Also they tightened leverage norms for property developers. In the past, SOEs were generally considered safe assets and so would be keen on seeing how far the authorities will let this run of defaults go.. Probably not very difficult for them to turn this around, like they have in the past, by turning on the liquidity and credit taps.. So is this part of their regular cleaning house operations or is there more to this?