X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Negative yields have vanished from the world’s corporate bond market as investors brace for monetary tightening.

Every single note in a Bloomberg index tracking the global investment-grade corporate bond market yielded 0 percent or more at Friday’s close, calculated using the midpoint between bid and ask prices. It’s a dramatic turnaround from August, when more than $1.5 trillion of debt—most of it in Europe—came with a subzero yield.

This milestone marks the end of an era fueled by easy money and extraordinary central-bank policy meant to hold down borrowing costs and stimulate inflation. That was sparked by a combination of the financial crisis and the European debt crisis, followed by the outbreak of the pandemic. Now it’s all going in reverse. Bond yields are soaring around the world, and investors are worried that inflation is getting out of control.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

 

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2022 ALM Global, LLC. All Rights Reserved.