HG bond spreads at 110bp are just 2bp wide to the post-GFC tightest level, so Eric joins to shed some light on why spreads are so tight. While our views haven’t materially changed, the market moves have put us well though our YE spread forecast of 125bp, so we consider which catalysts can trigger widening. A disappointing earnings season may prove to be the near-term test for HG, which we see as priced to perfection.

Speakers:

Thomas Salopek, Head of Global Cross Asset Strategy
Eric Beinstein, Head of US Credit Strategy

This podcast was recorded on January 22, 2024.

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All into Account: ‘Time to be more negative on HG spreads after the strong rally’ with Eric Beinstein, Head of US Credit Strategy