Junk and Investment Grade Credit Spreads Corporate bond yield spreads are often used as a gauge of financial market stress. They can provide insights into the likelihood of an economic downturn, but they are not foolproof predictors. Image: Real Investment Advice
S&P 500 vs. High-Grade U.S. Bonds vs. Junk U.S. Bonds While U.S. stocks generally have higher long-term returns, the current economic climate may favor junk U.S. bonds as a more stable investment option amidst fears of an equity downturn. Image: Bloomberg
U.S. Yield Curve 2s10s vs. Emerging Market High Yield Junk Bond Price Is a recession looming and are peak yields imminent? Image: BofA Global Investment Strategy
Proportion of U.S. Junk Bonds Maturing Within Four Years A third of the $1.2 trillion U.S. junk bonds matures in the next four years. This proportion is highest in decades. Image: Bloomberg
U.S. High Yield Spreads Having tight credit spreads is like being on a rollercoaster with no safety bar—looks fun until you realize you should’ve paid more attention! Image: Bloomberg
S&P 500 Index and BB to 10-Year Treasury Spread Closely monitoring the junk to Treasury bond spread can provide valuable insights into the overall health and direction of the U.S. stock market, making it an important leading indicator to watch. Image: Real Investment Advice
U.S. High Yield – % $HY Negative Real Yield How long will U.S. junk bonds with negative real yields last? Image: Deutsche Bank
Asia/U.S. High Yield Bond Spread Asian junk bonds look attractive relative to U.S. junk bonds. Image: Morgan Stanley Wealth Management
Annual Proceeds from High-Yield U.S. Corporate Bond Sales Are investors at risk of making poor investment decisions by rushing into junk bonds? Image: Financial Times
Correlation – CCC vs. BBB-rated U.S. Corporate Bonds Investors rush into junk bonds. Is it time to worry? Image: Arbor Research & Trading LLC
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