Corporate bonds

Fed surprises market with pandemic corporate bond support package

A pedestrian walks past the Federal Reserve Building on Constitution Avenue in Washington on March 19, 2019. Leah Millis | Reuters The Federal Reserve unleashed another round of bazookas today, including a flurry of programs to buy more Treasuries and mortgage-backed securities. But one move that surprised many was the decision to buy corporate bonds […]

Corporate bonds

Coronavirus raises risk of real trouble in corporate bonds

Sudden sell-offs in the markets have a nasty way of exposing vulnerabilities that take on a disruptive life of their own and risk amplifying the initial shock through a self-feeding cycle. It is important to remember, in this context, the large amount of high quality US corporate debt that hangs over the high yield market […]