Reported 16 days ago
Following Donald Trump's presidential win, investment in US corporate bonds has surged, driven by declining risk premiums and Federal Reserve rate cuts, resulting in average investment-grade bond spreads reaching their tightest level since 1998. Investors are optimistic that Trump will implement favorable corporate tax policies and reduce regulations, despite concerns about potential inflation. This has prompted many, including pension funds, to seize the opportunity for higher yields even as Treasury yields rise.
Source: YAHOO