CAM High Yield Weekly Insights


CAM High Yield Weekly Insights

CAM High Yield Market Note

11/29/2019

 

This is an abbreviated Note due to the Thanksgiving holiday. Happy Thanksgiving!

 

Fund Flows & Issuance: According to a Wells Fargo report, flows week to date were $0.2 billion and year to date flows stand at $23.5 billion. New issuance for the week was $12.8 billion and year to date HY is at $251.1 billion, which is +55% over the same period last year.

 

 

(Bloomberg) Single and Double B Junk Bond Returns Hit 2019 Peak Amid Rally

 

  • Junk bond returns are creeping back to record highs after three consecutive days of gains.
  • Junk bond year-to-date returns rose to 11.928%, inching closer to the highs of just over 12% reached earlier this month. Index yields were unchanged, closing at a two-week low of 5.64%
  • BB returns hit a year-to-date peak of 13.944%, while single B returns set a new high at 12.553%
  • CCCs are also catching a bid, boosted by a lift in energy bonds, after posting gains for three straight sessions to take year-to-date returns to 4.101%. That comes less than a week after CCC spreads jumped above 1,000bps over U.S. Treasuries for the first time in more than three years