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
Quarterly Dollar Notional Amounts of Bonds Downgraded from IG to HY The pace of rating downgrades has accelerated markedly in recent months. Image: Goldman Sachs Global Investment Research
Twitter Sentiment Index and University of Michigan Consumer Sentiment The Goldman Sachs Twitter Sentiment Index suggests that U.S. consumer sentiment appears to be deteriorating. Image: Goldman Sachs Global Investment Research
Number of New Coronavirus Cases, Ex-Mainland China, South Korea, Italy and Iran Chart suggesting that the growth of new coronavirus cases, ex-Mainland China, South Korea, Italy and Iran aren’t accelerating. Image: Pantheon Macro
U.S. Dollar and President Trump This chart shows the correlation between the U.S. dollar and President Trump’s approval ratings Image: TD securities
Global Trade Volume Growth in global trade volume is deteriorating at a rapid rate. Image: Financial Times
Growth Across 45 OECD Tracked Countries Chart suggesting stable growth this year and accelerating growth next year. Image: Charles Schwab
Corporate Bonds: IG Downgrade to HY and BBB Share of U.S. IG Market This chart highlights the resilience of BBB-rated bonds. BofA believes that there is little risk that IG ratings will fall to junk status in the next recession. Image: BofA Global Research
U.S. Dollar and Trump Job Approval Poll Average (Leading Indicator) This chart suggests that the U.S. dollar could rise, if it continues to track Trump’s approval rating. Image: Jeffrey Kleintop
Truck Tonnage vs. Air and Rail Freight Trucks represent 70% of U.S. freight and serve as a barometer of the U.S. economy. This chart suggests that shipping has changed since the Great Financial Crisis, but is not deteriorating. Image: Arbor Research & Trading LLC
U.S. Corporate Bond Ownership More than 25% of U.S. corporate bonds are held by insurance companies. Many investment grade investors are not allowed to hold junk-rated bonds. Any drop in the credit ratings could amplify the next recession. Image: NBF Economics and Strategy