(Bloomberg) -- The rapid selling of corporate bonds over the past month hasn't been seen since the commodities-driven rout more than two years ago and nearly matches the “Taper Tantrum” of 2013.
The 31 basis point increase in investment-grade credit spreads in October and November was the largest two-month move since the 2016 sell-off at the start of that year, according to the Bloomberg Barclays US Aggregate Corporate Average OAS Index. JPMorgan & Chase Co. analysts highlighted the comparisons in a note Wednesday.
Concerns about General Electric Co.'s debt load shook bond markets in the second week of November, and investor confidence hasn't recovered. Later that month, Guggenheim Partners Chief Investment Officer Scott Minerd tweeted that the GE's problems aren't isolated, and “the slide and collapse in investment-grade credit has begun.”
To contact the reporter on this story: Randall Jensen in New York at rjensen18@bloomberg.net
To contact the editors responsible for this story: Jeremy Herron at jherron8@bloomberg.net, Eric J. Weiner
©2018 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
