US Corporate Bond Yields - Yardeni Research

Market Briefing: US Corporate Bond Yields

Yardeni Research, Inc.

January 26, 2020

Dr. Edward Yardeni

516-972-7683 eyardeni@

Debbie Johnson

480-664-1333 djohnson@

Mali Quintana

480-664-1333 aquintana@

Please visit our sites at blog.

thinking outside the box

Table Of Contents Table Of Contents

US Corporate Bond Yields

1-3

January 26, 2020 / US Corporate Bond Yields

Yardeni Research, Inc.



US Corporate Bond Yields

Figure 1.

10

10

BOFA MERRILL LYNCH CORPORATE BOND YIELDS

(percent)

9

9

8

8

Aaa (2.8)

7

Baa (3.6)

7

Average of Aaa & Baa

6

6

5

5

4

4

1/24

3

3



2

2

97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20

Source: Bank of America Merrill Lynch and Haver Analytics.

Figure 2.

20

20

MOODY'S SEASONED CORPORATE BOND YIELDS

(percent)

18

18

16

16

Aaa (3.0)

14

14

Baa (3.8)

12

Average of Aaa & Baa (3.4)

12

10

10

8

8

6

6

4

2

21 26 31 36 41 46 51 56 61 66 71 76 81 86 91 96 01 06 11 16

* Moody's seasoned Baa corporate bond yield from 1962 to 1996, then Bank of America Merrill Lynch A-BBB corporate bond yield. Source: Federal Reserve Board.

4 Dec

2 21 26

Page 1 / January 26, 2020 / US Corporate Bond Yields

Yardeni Research, Inc.



US Corporate Bond Yields

Figure 3.

5

MOODY'S SEASONED CORPORATE BOND YIELDS & TEN-YEAR TREASURY YIELD (percent)

4 Average of Aaa & Baa Bond Yields Minus 10-Year Treasury Yield (2.2)

3

2

5

4

3 10/7

2

1

1



0

0

62 64 66 68 70 72 74 76 78 80 82 84 86 88 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20

Source: Federal Reserve Board.

Figure 4.

5

MOODY'S SEASONED CORPORATE BOND YIELDS & TEN-YEAR TREASURY YIELD (percent)

4 Average of Aaa & Baa Corporate Bond Yields Minus Ten-Year Treasury Yield (2.2)

3

2

5

4

3 Sep

2

1

1



0

0

54 56 58 60 62 64 66 68 70 72 74 76 78 80 82 84 86 88 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20

Source: Federal Reserve Board.

Page 2 / January 26, 2020 / US Corporate Bond Yields

Yardeni Research, Inc.



US Corporate Bond Yields

Figure 5.

20

20

AAA SEASONED CORPORATE BOND YIELDS

(percent)

18

18

16

16

MOODY'S (2.8)

14

BOFA* (2.9)

14

12

12

10

10

8

8

6

6

4

4

2

1/24 2

62 64 66 68 70 72 74 76 78 80 82 84 86 88 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20

* BOFA Merrill Lynch US Bond Yield Effective Yield (maturity of 15 years) Source: Federal Reserve Board and Bank of America Merrill Lynch.

Figure 6.

20

20

BAA SEASONED CORPORATE BOND YIELDS

(percent)

18

18

16

16

MOODY'S (4.3)

14

14

BOFA* (4.0)

12

12

10

10

8

8

6

6

4

10/7 1/174



2

2

62 64 66 68 70 72 74 76 78 80 82 84 86 88 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20

* BOFA Merrill Lynch US Bond Yield Effective Yield (maturity of 15 years) Source: Federal Reserve Board and Bank of America Merrill Lynch.

Page 3 / January 26, 2020 / US Corporate Bond Yields

Yardeni Research, Inc.



 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download