You think HYG is tanking now? We’re barely seeing 3% monthly moves. Back in 2008, when the world was really ending, that fucker was nosediving 10-15% per month. That was a credit crisis, formed in middle earth, designed to eliminate humans from the field of finance. This shit you see here is merely child’s play. However and having said that, what exactly is going to serve as a catalyst for better credit conditions?
Class?
“Ooh, ooh, I know. Pick me Professor Fly.”
“Yes, young Horatio, go ahead.”
“FEDERAL RESERVE RATE HIKES, AMOUNTING TO 16 IN TOTAL FROM NOW UNTIL 2018.”
Do you see the sort of evil we are facing now? The Fed is working against us and HYG is barely down, yet the market is tits up in a frenzy about it. Be warned: the price of oil drops into the $20’s next year and credit in the high yield space really starts to get sporty, you will all rue the day that you decided to pass your series 7 or 65 exams. You will pray to the Gods that you could work a garbage truck and somehow dispose of yourself into its bowels. Markets will face calamity, the ultimate beatdown, and nothing and no one will be there to catch its fall.
Janet Yellen will be, inexorably, at her local luncheonette eating a clubbed sandwich, enjoying the scenery of young whipper-snappers passing by.
NOTE: RAUL’s 2016 predictions are up.
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meh. it’s all noise until January.
Heard from a wavering disembodied voice from a tree stump: lower-high pat-tern, lower-high pat-tern
I wouldn’t have clicked on Raul’s Predictions if I had known it was a Facebook link…
“what exactly is going to serve as a catalyst for better credit conditions?” I’ll answer that: defaults, and a lot of them. It’s not a quick solution, but the only possible outcome.
meh … aren’t bull markets usually followed by bear markets?
No big whoop until this bull is over … even Fly stays long into his own negativity. Please explain …
15$ oil. Oh nelly. That will be some PAIN. Yikes rethinking all oil longs
I like to refer to 2008 as a collateral crisis
Check out the share price of CMA. Their book is loaded up with energy-related debt, and it’s showing. There are many others too.