Credit markets: Volatility and spreads to remain elevated.
As commodity prices fell to multiyear lows, corporate credit spreads widened and stock prices waned.
It was the best of times, it was the worst of times.
In the near term, the slow-raise policy signaled by the Fed would have minimal impact on corporate bonds.
Chair Janet Yellen makes the case.
Commodity prices continued to sink across the board the last week.
Diverging global monetary policy: U.S. considers tightening whereas rest of world is easing.
Treasury yield curve rises and flattens as probability of December interest rate hike climbs.
Strong foreign demand and better-than-expected earnings buoyed corporate bonds last month.
Monetary easing will heighten demand for corporate bonds.
China cuts rates; ECB hints at easier euro to come.
Return of the megamergers.
Indicative of the demand for corporate bonds, fund flows in the high-yield sector increased $0.6 billion.
Declining interest rates propped up investment-grade bonds but couldn't offset the pummeling high yield received from dramatically widening credit spreads.
Third-quarter review: Declining interest rates boost Treasury returns; risk aversion hits corporate bond market.
Boosting 2015 GDP expectations.
The combination of falling commodity prices and the continuation of heightened idiosyncratic risk has increased risk aversion, leading to a significant widening in corporate credit spreads.
Federal Reserve holds off yet again on raising the fed funds rate.
FOMC meeting lining up to be especially contentious.
Although depressed commodities prices have impacted credit quality, moderate economic growth in the U.S. should hold down defaults and support the high-yield market.
Next FOMC meeting lining up to be especially contentious.
Seasonal slowdown reduces new issue volume.
Crude oil prices fall to lowest level since credit crisis.
U.S. fixed income has been lackluster so far this year as rate-hike worries have been offset by periodic flights to safety, but high yield should continue to outperform.
Strategic M&A activity in health-care sector remains robust.
GDP not as low as it looked; Fed commentary specifically noncommittal.
We expect the high-yield sector to continue to outperform the investment-grade sector in the second half of the year.
Greek drama interesting to watch, but not meaningful to overall picture.
Corporate credit spreads may widen out a bit in the near term, but Greece's troubles should not lead to a systemic financial crisis, says Morningstar's Dave Sekera.
Curtain coming down on Greek tragedy.
Interest rates appear poised to rise further over time as the economy improves, creating an environment in which high yield should continue outperforming investment-grade.
Fed remains on hold; waiting for stronger economic signals.
Retail sales strong enough to raise economic forecasts, but not high enough to prompt Fed to raise rates this month.
Rising rates have pushed bond indexes into the red this year, but high-yield bonds, helped by tightening credit spreads in energy, have bucked the trend.
Payrolls and Other Economic Indicators Looking Better
Economic contraction in first quarter should prove to be an anomaly.
Rise in core CPI stokes inflation fears.
Weak retail sales report calls expected economic rebound into question.
U.S. employment report just right: not too hot, not too cold.
We continue to expect that high-yield bonds will provide better returns than investment-grade as underlying rates tick up and moderate economic growth holds down defaults.
Slowing consumption, falling exports, weak energy sector lead to stagnant GDP growth.
The transaction is heavily oversubscribed.
Pace of economic growth in China slows; investors bet on additional easing.
The ECB's QE program and soft economic data have driven fixed-income returns, while miserly yields on sovereign debt make U.S. corporates more attractive to global investors.
Barclays' credit rating downgraded; UnitedHealth acquiring Catamaran.
European banks downgraded; Kraft and Heinz to merge.
Considering the historically low interest rates on sovereign bonds in developed markets, corporate bonds should perform well on a relative basis.
Fed intimates that rates will rise at a slower pace.