The riskiest companies in the world are enjoying the benefits of the global hunt for higher returns, sending the yield on the dollar-denominated debt of some of the lowest-rated businesses close to historic lows. The average yield across US triple-C-rated debt in the US dropped to a recent nadir of 7.6% this month, closing in on its record low of 7.3% set in 2014, according to data from ICE Data Services. The drop in yield signals a rally in price for the assets.
Financial Times
Back on form
US equities notched their biggest gain in more than two months on Monday, after the struggle between Reddit’s day traders and Wall Street institutions saw stocks endure their worst week since October.
Investors are looking past the tussle to focus instead on promising vaccine news on both sides of the Atlantic. The prospect of a bipartisan relief package has also raised hopes of a targeted US response to the pandemic.
Financial Times
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