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Subject:  Re: bond spreads - corporate debt risk premium Date:  11/6/2001  3:35 PM
Author:  remedialstudent Number:  107 of 297

Last week is an extreme example of what I was talking about in this thread. In response to the treasury ending thirty year bond issuance we had the long bond dropping 50 bps in yield while Moddy's Aaa's dropped less than 1/2 that amount, an increase of 25 bps in the spread that had nothing to do with increasing risk. My guess is this is about the top for the spread.
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