The junk bond market is signaling increased risk, with yields rising and credit spreads widening to levels not seen since April. High-yield bonds now yield 8.1%, up from 7.22% a month ago, reflecting investor demand for higher compensation for risk. Spreads are at 315 basis points, with the lowest-rated CCC cohort seeing dramatic increases. While not yet 'red,' this trend indicates a potential reassessment of credit quality amid rising borrowing costs.
Junk bonds are ‘flashing yellow.’ Watch these warning signs
CNBC.COMOct 9, 8:14 PM UTC
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