Investors Just Rushed Back Into Junk

Earlier this week, US junk bond yields hit all-time lows amid the rampant euphoria that accompanied Pfizer's coronavirus vaccine news. It was a remarkable achievement: The lowest borrowing costs on record for high yield issuers came during a year that featured a pandemic and the worst economic downturn since the Great Depression. While documenting the milestone, I noted that the timing was fortuitous. Junk outflows accelerated prior to the election, and Lipper’s data showed high yield funds