Corporate Bonds – Share of Market Value in Bloomberg Barclays USD IG (AAA, AA, A, BBB) Credit quality is deteriorating, as the amount of BBB-rated bonds, one step away from junk bonds, has doubled since 1990. Image: Deutsche Bank Global Research
Ownership Breakdown of the U.S. Equity Market (Share of Corporate Equity Market) This chart shows who owns the US equity market. Image: Goldman Sachs Global Investment Research
S&P 500 Index vs. U.S. Corporate Profits After Tax Index Do valuations still matter? This chart puts into perspective the wide divergence between the S&P 500 and U.S. corporate profits after tax. Image: Morgan Stanley Research
U.S. Corporate Debt Outstanding by S&P Ratings Should investors be worried? The proportion of BBB-rated bonds has increased significantly over time. Image: Deutsche Bank Global Research
Corporate Bond Defaults Corporate bond defaults are on the rise this year: US$70bn in Q2 2020, the largest on record. Image: Institute of International Finance
U.S. Corporate Debt Is U.S. corporate debt in serious trouble, approaching 50% of GDP? Image: The Daily Shot – The Wall Street Journal
United States Corporate Income Tax Rate and Median S&P 500 Company Effective Rate According to Goldman Sachs, the effective S&P 500 tax rate could lift to 26%, if Democrats win the presidency and the Senate in November. Image: Goldman Sachs Global Investment Research
Corporate Profits After Tax vs. S&P 500 Do valuations still matter? The current divergence between the S&P 500 and corporate profits after tax is the widest on record. Image: Real Investment Advice
Global Corporate Profits, Level and Cumulative Loses J.P. Morgan expects global corporate profits to fall by about 70% in the first half of 2020. Image: J.P. Morgan
U.S. Unemployment Rate and Corporate Bankruptcies A scary chart? Corporate bankruptcies could begin to rise, if the US economy doesn’t rebound soon. Image: Nordea and Macrobond