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Late Corporate Credit Update, No Help From Stocks

US

Not much help from stocks as indexes pare gains in late trade, holding mixed levels: SPX eminis near middle of the session range: 10.5 (0.05%) at 4523.0, Dow trades + 58.28 (0.17%) at 34768.73, and Nasdaq - 65.7 (-0.5%) at 14128.41.

  • Investment grade risk measured by Markit's CDXIG5 index currently +1.247 to 72.076; CDXHY5 high yield index mildly lower at 105.316 (-.268).
  • Outperforming credit sectors (tighter or least wide): Materials sector debt outperforming (-2.5) lead by a broad swath of ore/gold mining companies. Next up: Consumer Staples (-1.7) outpace Financials (-1.6).
  • Lagging sectors (wider or least narrow): Energy sector and Industrials (-.9-1.0) oil refiners improved on the day but at the low end of the list. On industrials, bearing and transmission maker Timken debt underperformed.

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