Bernanke’s 0% Means Buy Junk
I’m kicking myself for being too lazy to post this chart last night. The large volume in high yield corporate debt suggests that risk sentiments are changing.
Emerging market debt is making a 2nd Bollinger violation. I wish there was more volume in this issue.
Bonds are offering ridiculous yields whilst rising from panic induced bases. If inflation gets nasty, these will lag the market, but if you want to lock in yield, this collection looks promising. My trade in LQD has come to an end, but I think I’ll try an scoop up some of these lower credit quality plays if the tape presents itself.