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Corporate Credit Update: Holding Pattern

US

Investment-grade corporate credit risk running marginally higher at the moment, lower half of range as major stock indexes trading mildly weaker after midday: SPX eminis trading -3.5 (-0.1%) at 3830.5; DJIA -74.25 (-0.24%) at 30893.34; Nasdaq -7.8 (-0.1%) at 11314.81.

  • Investment grade risk measured by Markit's CDXIG5 index at 99.802 (+0.707); CDXHY5 high yield index at 97.379 (-0.097).
  • Outperforming credit sectors (tighter or least wide): Financials subordinated and Sr (-2.6) Technology, Communications and Health Care all (-2.1)
  • Lagging sectors (wider or least narrow): Energy (-0.4), Utilities (-0.6) and Industrials (-1.0).

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