High yield is in rally mode today along with gold, stocks and Treasuries. Weaker than expected housing starts, building permits and GDP growth in Europe is putting some water on the monetary tightening prospects by the Central Bankers around the world.
Three new issues came to the market yesterday with a half dozen more in the pipeline. The new-issue market is performing well despite the CCC sector being down for eight of the last ten trading sessions. High yield bond issuance is now over $200bn, and running ahead of what we saw last year.