(Bloomberg) -- High-yield debt is benefiting from the willingness of global investors to take on greater risks even as U.S. inflation suggests a subdued growth outlook. The risk premium on the Bloomberg Barclays Global High Yield Index, which is comprised of euro- and dollar-denominated debt from the U.S., Europe and emerging markets, is close to a post-crisis low, while a measure of economic momentum over the next five years is close to levels notched on the eve of the U.S. presidential election. The divergence underscores the resilience of growth-sensitive bonds despite the wobble in U.S. credit markets this week and last.
To contact the reporter on this story: Sid Verma in London at sverma100@bloomberg.net.
To contact the editors responsible for this story: Samuel Potter at spotter33@bloomberg.net, Dave Liedtka, Sophie Caronello
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