Roaring labor market puts ‘boomflation’ back on the map for investors

The worry instead turned to what a rip-roaring labor market and surging costs for everything means for stocks and bond portfolios, particularly if it turns into a mix of higher growth and inflation with staying power. What to even call such a scenario? “Boomflation,” said Kent Engelke, chief economic strategist at Capitol Securities Management, pointing … Read more

Meta’s first-ever corporate bond deal sees $30 billion in demand despite Zuckerberg’s gloomy warning

Corporate bond investors appeared pretty bullish on the metaverse Thursday, or at least about digital advertising. Meta Platforms Inc. META, +1.05%, the parent of Facebook, on Thursday saw roughly $30 billion in demand for its debut $10 billion, four-part US corporate bond deal, according to a person with knowledge of the dealings and Informa Global … Read more

China Property Market Shudders as Buyers Threaten to Stop Mortgage Payments

Town Cao Li spirit Rebecca Feng July 14, 2022 10:48 am ET Global investors and home buyers in China are losing confidence in the country’s property market, which has entered a new stage of turmoil after a year-long slide in sales, stalled projects and mounting real-estate developer defaults. This week, a movement among frustrated homeowners … Read more

This segment of the corporate bond market is flashing a warning that investors should not ignore

US stocks just cemented their worst start to a year in more than half a century. But as the slowdown in the US economy becomes increasingly difficult to ignore, the market for high-yield corporate bonds – often referred to as “junk bonds,” a Wall Street sobriquet for the debt of companies with less-than-stellar credit ratings … Read more

Recession is challenging inflation as top fear among stock and bond investors

It’s easy to want to duck for cover given the carnage seen this year in stocks and bonds, particularly with the Federal Reserve vowing to wage an unconditional battle against high inflation. While inflation running at a 40-year high still sits near the top of the list of worries for many investors, another potential bugaboo … Read more

Mounting debt means the ‘Fed put’ has shifted from the stock market to Treasurys: analyst

Why do stock-market investors seem to get a case of the jitters whenever the 10-year Treasury yield trades above the 3% threshold? A look at corporate and government debt levels explains why, according to one closely followed analyst. Neither the Federal government nor businesses can afford + 10% Treasury yields, common in the 1970s. That’s … Read more

What a ‘squirrelly’ stock market says about the ‘Fed put’, bond yields and rising government and corporate debt

Stock-market investors seem to get jittery when the 10-year Treasury yield is trading above 3%. A look at corporate and government debt levels explains why, according to one closely followed analyst. Neither the Federal government nor businesses can afford + 10% Treasury yields, common in the 1970s. That’s why the ‘Fed Put’ is all about … Read more

Investors Get Back Into Corporate Bonds

Investors are going bargain hunting for beaten-down corporate bonds. That is a reversal from earlier in the year, when investors sold off even the highest-quality debt. The turnaround highlights the tensions pressuring financial markets. In recent weeks, investors have grown more confident about the Federal Reserve’s path for raising interest rates to wrangle inflation — … Read more

S&P Global Is Worried About Lower Debt Issuance. Why the Market Does Not Need To.

Text size Corporate debt outstanding by nonfinancial companies is at an all-time high of nearly $ 12 trillion today, according to Wells Fargo Spencer Platt / Getty Images S&P Global has a gloomy outlook for the primary corporate debt market, calling conditions “extraordinarily weak.” The credit ratings giant cited deteriorating macroeconomic conditions and market volatility … Read more