Corporate Bonds Restabilize
After a near-collapse in October, the corporate bond market is back on steady ground while continuing to deliver an attractive yield.
LQD
Positioning for a 3 Year Downturn
After 6 straight quarters of declining earnings for the S&P 500, a downturn of 3 years in length is a real possibility. To find another large downturn that lasted for that long, go all the way back to the 1930s.
State Street Launches Intermediate Term Bond ETF
State Street recently launched the SPDR Barclays Capital Intermediate Term Credit Bond ETF (Ticker: ITR). The new ETF provides investors with precise, low-cost access to intermediate term bonds including investment grade corporate and non-corporate bonds with a maturity of 1 to 10 years.
Credit Markets Show Signs of Thawing
Monday’s annoucement that Cisco successfully raised $4 billion at low interest rates is another sign that the credit markets are beginning to unfreeze.
Investment Grade Credit On Sale
The deterioration in the value of bonds from AIG, Barclays Capital and Wachovia has taken a toll on the iBoxx $ Investment Grade Corporate Bond Fund (LQD).