Junk Bonds and S&P Testing Critical Breakout Levels!
by Kimble Charting Junk Bonds and the S&P 500 are both facing key breakout tests at the same time. What each does at these key price points could well determine if … Read more
bonds
Extremely Risky Junk Bonds Now the Latest Investment Craze in 2019. Here We Go Again…
Risk is back on the table. Junk bonds are gaining massive attention and of course, that’s not a good thing. Do you think junk is good? Risk is back on … Read more
Subprime Lender’s Deal May Herald More Bonds With 100%-APR Loans
via Bloomberg: Online lender Enova issued unrated consumer-loan ABS last year New CFPB proposal would loosen standards for subprime lending Online subprime lender Enova International Inc. bundled consumer loans with eye-popping … Read more
What Blows Up First? Part 6: “Almost Junk” Bonds
by John Rubino The key insight of the Austrian School of Economics (maybe the key insight of ALL economics) is that the amount you borrow matters, but so does the … Read more
Vanguard Holds Half of PG&E’s $920 Million Municipal Bonds, USAA Second Biggest Holder With $86.6 Million
via Bloomberg: The Vanguard Group holds about $415 million of municipal bonds issued on behalf of PG&E Corp., about half of the $920 million state and local debt sold for the California … Read more
Junk bonds lose 43% of their value from here as this chart suggests we will be in a depression…..Gundlach: “By historic standards 62% of Triple B rated bonds should be considered junk status right now BUT are not”
Monster rally in U.S. junk-bonds currently underway. pic.twitter.com/W11bqrupdm — Tracy Alloway (@tracyalloway) January 8, 2019 Gundlach: "By historic standards 62% of Triple B rated bonds should be considered junk status … Read more
Half of Investment-Grade Bonds Are Just One Step from Junk Status
BY ROBERT ROSS The S&P 500 is down 14% since October. When the market drops, conventional investing wisdom says buy bonds. And this is what investors did. Many have shifted money … Read more
Corporate bonds set for worst performance year since 2008… JPM to clients: Share buybacks and corporate bond redemptions would likely dissipate
via Bloomberg: U.S. investment-grade credit spreads are at the highest level in more than two years as the market nears the end of 2018 with the worst returns in a … Read more
Investors rush into bonds in record numbers…. Alan Greenspan to investors: ‘Run for cover’
Investors rush into bonds in record numbers as global economic outlook falls to worst in 10 years “This month’s survey [found] the biggest ever one-month rotation into the asset class” … Read more
Even the IMF Knows Corporate Bonds are A Major Problem
via GPC Too many investors are focusing on what the Fed is doing today. The REAL issue that matters is what the Fed did from 2008-2016. When the Fed created … Read more
Outflow: Money Flees Stocks and Bonds in October at Fastest Rate in 3 Years; Morgan Stanley: The Worst Is Yet To Come
Investors Pulled $29 Billion in October, Most in Three Years From Funds Investors pulled more money out of stock and bond funds in October than in any month in more … Read more
Junk Bonds sending 2000 & 2007 Bearish messages again!
by Kimble Charting This chart looks at Junk Bond Fund (PHDAX) and the S&P 500 over the past 25-years. Junk bonds sent bearish messages “before stocks peaked in 2000 & 2007.” Bearish divergences … Read more
High Yield Corporate Bonds just broke upwards through 7.0%… If LQD closes below 110 in a convincing manner, it would likely foreshadow an even more powerful bond and stock market bust ahead.
fred.stlouisfed.org/series/BAMLH0A0HYM2EY#0 If LQD closes below 110 in a convincing manner, it would likely foreshadow an even more powerful bond and stock market bust ahead. As someone who has … Read more
Moody’s:U.S. Investment-grade Corporate Bonds Now Riskier Than Before Each Recession Since 1981; Morgan Stanley Warns BBB Bond Bust Would Hit Jobs and Growth
via Tim Kilgore As benchmark interest rates in the U.S. rise and the pace of corporate earnings growth slows, Moody’s Investors Service warned Friday that an unprecedented number of corporate … Read more
How The Bubbles In Stocks And Corporate Bonds Will Burst
by Jesse Colombo As someone who has been warning heavily about dangerous bubbles in U.S. corporate bonds and stocks, people often ask me how and when I foresee these bubbles bursting. Here’s what I wrote a … Read more
As Oil Plunges, Energy Junk Bonds Return To The Spotlight
by John Rubino Back in 2104 oil was falling and hundreds of billions of dollars of energy junk bonds and leveraged loans looked to be at risk. Wolf Street had … Read more