Back To The Twilight Zone: Companies Get Paid To Borrow During Pandemic
Nothing gets the crowd going quite like negative rates. “Perversion” is a term that invariably gets bandied about whenever thisContinue Reading
Category: credit
This Is No Lehman. Meet Me At Dave & Buster’s!
There’s talk of “lockdowns 2.0,” which I suppose is market parlance for politicians’ latest efforts to craft a response toContinue Reading
The Bankers Are Fine
US equities managed to recover from fairly steep early losses to close mixed Thursday, as investors suffered through another sessionContinue Reading
$2 Trillion In A Pandemic? Corporate America’s 2020 Debt Binge Has No Precedent
No, really. “Investors really can’t get enough high-grade corporate bonds,” Bloomberg’s James Crombie wrote late last week, just hours beforeContinue Reading
When It Comes To Huge Corporate Leverage, There Is No Easy Way Out
“Records were shattered on debt, GDP, and leverage”, SocGen’s Stephen Gallagher writes, recapping what will be remembered as one ofContinue Reading
As Junk Bond Sales Smash All-Time Record, Outflows Suddenly Accelerate
In what looks like more evidence that September’s equity market tumult is spilling over into high yield, outflows from junkContinue Reading
Cracks Emerge In Junk As Stock Slump Spills Over
There’s consternation in high yield bonds. Or at least that’s the impression one gets from a quick glance at flowsContinue Reading
Bonanzas, Borrowing Binges, And Cash Off The Sidelines
Investment grade credit funds took in another $5.17 billion in the week through Wednesday, the latest Lipper data shows. ThisContinue Reading
Blue-Chip Supply, Debt Demand, And $105 Billion In Cash Off The Sidelines
As expected, this week saw a deluge of new high-grade supply, with the US investment grade primary market buzzing toContinue Reading
Meanwhile, In Credit: More Records
Week after week, it’s the same story: investors’ appetite for corporate credit is insatiable. Although equities grabbed most of theContinue Reading
Cash Is Trash Again
“[You’re] going to feel pretty stupid if you’re holding cash”, Ray Dalio famously said, in January of 2018, just daysContinue Reading
Temple Of Doom
I’d be remiss not to point out that the political circus in the US took another turn for the absurdContinue Reading
What’s Next For An Over-Leveraged Corporate America?
Much has been made over the past several months about the impact of massive debt issuance on corporate balance sheets.Continue Reading
Corporate Debt Binge Shatters Record, As Blue-Chip Borrowers Gorge On Cheap Money
There’s been no let up in demand for corporate debt. And where there’s demand, there’s supply, especially at a timeContinue Reading
Pandemic Ushers In ‘Night Of The Living Debt’
The coronavirus crisis and attendant recession are nobody’s “fault”. That’s a common refrain, and it serves as the justification forContinue Reading