CHICAGO— Moody's Investors Service has downgraded Chicago's credit rating to two levels above junk status, citing the city's $20 billion mountain of unfunded pension liabilities. "Regardless of outcome of the legal challenges to pension reforms, we expect Chicago's unfunded pension liabilities— and the costs of servicing those liabilities— to continue to...» Read More
Wall Street is dipping back in to the junk bond market after the rout in high-yield corporates resulted in record outflows just a week ago.
CNBC's Kate Kelly reports the fall in junk bonds is raising questions about the health of equities.
Declining credit standards among bond issuers may be worrying, but the papers' buyers, especially ETFs, may also pose risks if liquidity dries up.
Stocks could see a continued selloff, O'Neil Securities' Kenny Polcari says. But the shift is more about repositioning, says Citigroup's Suni Hartford.
Ultra-low rates have spurred investors to chase yield in ever riskier corners of the bond market, but some are starting to pull out of the race.
Speculative-grade debt was shunned by investors last week with new data showing that high-yield bond funds saw their largest outflows for over a year.
Despite dire predictions that China faced a slew of defaults, few mainland borrowers have welshed amid various stripes of government intervention.
Tech shares sold off Tuesday after Fed Chief Yellen said some valuations were "stretched," but similar comments on high-yield bonds got a yawn.
So far this year, bond yields have thwarted forecasts they would rise, but many analysts are sticking with their calls for a march higher.
Markets have frustrated expectations for rising bond yields, but some bond managers are still antsy and are looking to protect their portfolios.
Hans Goetti, Head of Investment Asia at Banque Internationale a Luxembourg, says there may be bubbles in some bond markets like junk bonds. He also explains why the Fed is "behind the curve" on inflation.
Emerging market bonds have been hot this year, erasing price falls following last year's "taper tantrum," but some say the rally may be getting old.
Yields on high-yield bonds already don't live up to their name, but some believe they could fall further despite expectations interest rates will rise.
Some of the biggest investors have started to pull back from riskier fixed-income assets even as the Federal Reserve keeps on a green light for risk.
While crying, "Bubble!" has been a cottage industry for some pundits, you can argue that high yield is starting to look, well, bubbly.
Interest rates and whether bonds are expensive may be up for debate, but some are tipping bond picks, with emerging Europe among the favorites.
While bonds' thin spreads over Treasurys have spurred concerns investors may be overpaying for yield, some analysts say low payouts may be justified.
Despite all the anticipation of money fleeing fixed income and dashing toward equities, bonds continue to get a bid.
Yield-hungry bond investors have pushed ever further into high-risk territory and Pimco sees five warning signs bond markets are getting too frothy.
With the U.S.'s zero interest rate era nearing its end, some analysts worry that bonds on the short end of the yield curve may face a selloff.