Foreign Exchange & Fixed Income

Reuters analysis shows how U.S. junk bond investors pushing back on loose terms

Reuters analysis shows how U.S. junk bond investors pushing back on loose terms

In an in-depth analysis, Reuters showed how rising Treasury yields have emboldened high-yield investors to demand better terms from junk-bond issuers, forcing them to offer higher yields and better protections than during the years of record-low rates and a frantic hunt for yield. In the past two months investors have pushed back on loose terms and low coupons on bonds rated BB or lower by Standard & Poor’s or Ba and below by Moody’s Investors Service, given safer alternatives are finally offering appreciable yields after years of rock-bottom interest rates