WMP spreads widened sharply in the past week as investors went in search of safety. Yields for guaranteed products and short-duration products all dropped sharply, while yields at small banks rose sharply. Also, the number of non-guaranteed products, products with more than 1 month of duration and less than 1 year, all declined in number. This shows there's still some appetite for high yield, but the vast majority of investors are piling into the safest products. The decline in yields reflects investor rejection of risky projects.
FTAV’s further reading
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Seagull boy; nuking the moon; chief tractor officer; optimal Mario Kart
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