LeisaI was listening to a credit fund manager today...He said that the credit market is currently discounting that 90% of high yield bonds will defaultHe went on to say that such a rate of default was not even achieved during the 1930's depressionAt such levels by historical norms, this would equate to a DOW of no more than 5000So either the credit market is right or the equity market is right and the credit market is overreacting.nice
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Leisa
I was listening to a credit fund manager today...
He said that the credit market is currently discounting that 90% of high yield bonds will default
He went on to say that such a rate of default was not even achieved during the 1930's depression
At such levels by historical norms, this would equate to a DOW of no more than 5000
So either the credit market is right or the equity market is right and the credit market is overreacting.
nice
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