Bond investors looking for yield and an effective hedge against a broad downturn in equities are increasingly turning to China. The appeal of that nation’s sovereign debt is on display this year as policy makers across major economies deploy ultra-aggressive stimulus, crushing yields and weakening currencies. With U.S. Treasuries leading the plunge in yields, foreign holdings of China’s debt have surged to a record 1.79 trillion yuan ($274 billion), according to data published by ChinaBond. China’s relatively restrained easing, its inclusion in global bond indexes, and yield differential have Citigroup Inc. ... (full story)