The high-yield market improved Tuesday driven by inflows and better equities, with high quality names continuing to lead the charge higher. The yield to worst on the Bank of America High-Yield Index tightened 6bps to close at 8.08%, while the spread on the index closed flat at +640bps.  No new deals priced yesterday but two deals for $650 million were added to the calendar as the year end slowdown looms. This morning we’re opening flat but the firm tone remains in place with buyers of high quality names providing support for the market. As of this morning it looks like two deals will print throughout the day.

The Bank of America Merrill Lynch High Yield Index monitors the performance of below investment grade U.S. dollar-denominated corporate bonds publicly issued in the U.S. domestic market.  Index data sourced from Bloomberg. Yield referenced is the yield-to-worst and spread referenced is the spread-to-worst.