The Economy Has Turned - But Risk Appetite Has Not

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About: iShares iBoxx $ High Yield Corporate Bond ETF (HYG), JNK, LQD, TLT, Includes: AAPL, CVS, GS, MSFT, S, SPY, WDC
by: Eric Basmajian
This article is exclusive for subscribers.
Eric Basmajian
Specializing in economics, macro, portfolio strategy, bonds
Summary

High-grade corporate spreads are widening.

Junk bond spreads are still tightening.

The economy is starting to shift, but investors are still reaching for yield.

The Economy Has Turned - But Risk Appetite Has Not

There is an interesting phenomenon that has been unfolding in the corporate bond market. The bond market is full of information beyond the varying rates