Financial institutions raised a total of $16.5 billion in the U.S. investment-grade market today.

UBS expects the premium investors require over U.S. Treasuries rates to reach 160–170 bps for high-grade debt and 600–650 bps for junk debt by midyear.

The extra yield investors demand to own junk bonds instead of Treasuries widened by 45 bps yesterday, to 386 bps.

Thanks to good trades prior to M&A, credit downgrades, and defaults, the insurers in the top quintile for dealer-network size achieved about 0.84 percentage point higher annual returns on corporate bonds, according to a recent study.

“We increasingly view a large-scale pullback in spending driven by uncertainty about tariffs, DOGE layoffs, and weakness in equities as a non-trivial tail risk.”

Both robust foreign demand for high-yielding U.S. corporate bonds and falling hedging costs are drawing companies to Japan.

Debt sale received a BBB rating from S&P because it expects Flower Foods’ net debt–to–EBITDA ratio to remain above 3 for at least two years.

The U.S. junk market, by contrast, has a “largely manageable” volume of debt coming due in the next three years.