The Fed is using lessons learned in 2008 to help alleviate the near-term financial and economic impact of COVID-19.
Only U.S. Treasuries have been able to generate gains as the severe widening across credit spreads on risky assets has led to losses across the rest of the fixed-income universe.
Except for when the market was broken in 2008, corporate bonds are trading at their widest credit spreads and lowest dollar prices over the past 20 years.
The closure of the floor of the New York Stock Exchange will mostly mean business as usual -- with a few caveats.
Why aren’t U.S. Treasury bonds and precious metals providing the refuge they usually do?
Year-to-date inflows of $20.1 billion are heavily weighted toward the high-yield ETFs.
Year-to-date inflows into the high-yield asset class remain a solid $18.4 billion.
The Federal Reserve announced it would extend its program of offering daily overnight repurchase agreements up to $75 billion through November 4.
Dave Sekera explains the quarter in bonds.
The corporate bond market traded in an orderly fashion and was relatively quiet last week.
The differing outlook is based on the high degree of uncertainty over potential contagion of slowing economic growth in Asia and Europe spreading to the U.S. economy.
The U.S. announced it would delay the imposition of new tariffs on $250 billion worth of Chinese imports for two weeks.
According to Bloomberg, $74 billion worth of new investment-grade bonds were sold last week.
There are reportedly over $15 trillion worth of bonds currently trading at a negative yield.
After widening most of the week, credit spreads were unable to recoup much of their losses.
High-yield investors head for the exit.
They're looking for positive returns wherever they can find them.
Investors have been unwilling to pay up for corporate bonds.
Falling interest rates drive further gains.
ECB and Fed are signaling a shift toward an easy monetary policy.
Investors sold risk assets and headed to the safe havens.
Trade negotiations will be an overhang on the corporate bond market for the near term.
Investors decided to sell first and ask questions later.
They failed to follow the lead of the equity market, which hit new highs.
While the equity markets are hitting record highs, bond are taking a break.
Prices for safe-haven assets such as U.S. Treasury bonds weakened.
Prices for risk assets surged higher and prices on safe-haven assets were pummeled.
For one, Kraft Heinz announced a trifecta of negative issues.
Weekly high-yield fund flows normalize after prior week's surge.
Corporate bond market runs out of steam midweek.
So far this year, investment-grade and high-yield bond indexes have outpaced government bonds.
The Morningstar Corporate Bond Index tightened 5 basis points last week.
Investors have become increasingly comfortable taking on corporate credit risk.
After the holidays, investors put cash to work.
Yield curve continues to flatten as rates rise.
China's weaker-than-expected sales and production results exacerbated already dour market sentiment.
Heightened tensions between the U.S. and China aren't helping.
While the equity markets rose, the corporate bond market continued to operate in a risk-off mode.
But falling oil prices have pressured corporates over the past month.
The U.S. Treasury market gave back the price gains it made the prior week.