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Corporate Credit Update

US

Equities see-sawing near second-half/session lows, SPX eminis still well above first support/Jan 31 low of 4395.5 at 4505.0 in late trade.

  • IG corporate credit risk measured by Markit's CDX IG5 index held near late morning high of 63.460 (+3.703) vs. open low of 60.413.
  • High-yield index, CDXHY5, currently at 106.361 (-.640) vs. 106.875 highs on the open.

Top three sectors lagging sectors: Communication Services (-5.34%), Consumer Discretionary (-2.31%), Information Technology (-1.96%).

  • Tech heavy: shares of Meta (Facebook) were −84.16 (26.06%) at 238.84 after 4Q earnings miss and 1Q outlook miss as Tik Tok siphons off customers. Markets await Amazon results (3.58 EPS est) after session close.
  • Otherwise, active accounts plying sidelines ahead of Fri's key Jan employment data (+150k est) after Wed's ADP private employ data much worse than expected at -301k jobs lost vs. +180k est gain.

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