Soaring Corporate Debt Bets on Improving Economy (Capital Markets Research) - Moody's Capital Markets Research

Soaring Corporate Debt Bets on Improving Economy (Capital Markets Research)

Soaring Corporate Debt Bets on Improving Economy (Capital Markets Research) - Moody's Capital Markets Research
Soaring Corporate Debt Bets on Improving Economy (Capital Markets Research)
Published Aug 04, 2016
28 pages — Published Aug 04, 2016
Price US$ 750.00  |  Buy this Report Now

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Abstract:

WEEKLY MARKET OUTLOOKAUGUST 4, 2016CAPITAL MARKETS RESEARCHSoaring Corporate Debt Bets on Improving Economy Credit Markets Review and Outlook by John Lonski Soaring Corporate Debt Bets on Improving Economy.¯ FULL STORY PAGE 2Topic of the Week by Ben Garber Buy Gold and Head for the Hills?¯ FULL STORY PAGE 6The Week Ahead We preview economic reports and forecasts from the US, UK/Europe, and Asia/Pacific regions. ¯ FULL STORY PAGE 9The Long View Check our chart here for forecast summaries of key credit market metrics. Full updated stories, Corporate bond offerings have started the month briskly for what is usually a dull August, begin on page 15. ¯ FULL STORY PAGE 17 Ratings Round-Up by Njundu Sanneh Downgrades Predominate. ¯ FULL STORY PAGE 20 Market Data Credit spreads, CDS movers, issuance. ¯ FULL STORY PAGE 22 Moodys Capital Markets Research recent publications Links to commentaries on: Italy, pricey, borrowing, Turkey, shareholders, Brexit, yields, bondholders, cred risk, sov risk, MIRs, jobs, ratings, Brexit. ¯ FULL STORY PAGE 26Credit SpreadsInvestment Grade: Year-end 2016 spread to be close to its recent 146 bp. High Yield: After recent spread of 584bp, it may approximate 630 bp by year-end 2016. Defaults US HY default rate: after June 2016s 5.1%, MoodysCredit Policy Group forecasts 6.4% by Q4 2016. Issuance In 2015, US$-denominated investment-grade (IG) bond offerings advanced by 17.5% to $1.326 trillion, whileUS$-denominated high-yield bond issuance sank by -15.0% to $358 billion. For 2016, US$-denominated IG bond issuance may increase by 5.2% to a record $1.395 trillion, while US$-priced high-yield bond issuance may sink by -15.3% to $300 billion.Click here for Moodys Credit Outlook, our sister publication containing Moodys rating agency analysis of recent news events, summaries of recent rating changes, and summaries of recent research.Moodys Capital Markets Research, Inc.Weekly Market Outlook Contributors: David W. Munves, CFA 1.212.553.2844 david.munves@moodys.com John Lonski 1.212.553.7144 john.lonski@moodys.com Ben Garber 1.212.553.4732 benjamin.garber@moodys.com Njundu Sanneh 1.212.553.4036 njundu.sanneh@moodys.com Yukyung Choi 1.212.553.0906 yukyung.choi@moodys.com Irina Baron 1.212.553.4307 irina.baron@moodys.com Franklin Kim 1.212.553.4419 franklin.kim@moodys.com Xian (Peter) Li1.212.553.1404 Xian.li@moodys.comMoody's Analytics/Europe: Tomas Holinka +420 ( 221) 666-384 Tomas.holinka@moodys.comMoody's Analytics/Asia-Pacific: Jack Chambers +61 (2) 9270-8159 Jack.chambers@moodys.com Faraz Syed +61 (2) 9270-8146 Faraz.syed@moodys.comEditor Dana Gordon 1.212.553.0398 dana.gordon@moodys.comMoodys Analytics markets and distributes all Moodys Capital Markets Research, Inc. materials. Moodys Capital Markets Research, Inc is a subsidiary of Moodys Corporation. Moo...

  
Source:
Document ID
PBC_191495
Report Type
Market Outlook
Format:
PDF Adobe Acrobat
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Sections

TitleStarting PageNumber of Pages
The Week Ahead11
The Long View11
Ratings Round-Up by Njundu Sanneh11
Downgrades Predominate.11
Market Data11
Moody s Capital Markets Research recent publications11
Weekly Market Outlook Contributors:11
Credit Markets Review and Outlook24
  Ratio of corporate debt to net revenues soars21
  High-yield shrugs off latest climb by ratio of debt to revenues31
  Elevated ratio of debt to sales stems from ultra-low interest rates31
  Sluggish real GDP hints of wide spreads41
  GDP and net revenues favor slower jobs growth42
Topic of the Week By Ben Garber, Economist, Moody s Capital Markets Research, Inc.63
  Gold is building momentum61
  Limp inflation mutes duration risk71
  Modest credit risk adds significant value81
  The corporate credit market is not broken81
The Week Ahead US, Europe, Asia-Pacific98
  THE US91
    Friday, August 591
  Employment Report July91
  Trade Balance June91
    Tuesday, August 991
  Productivity &Unit Labor Costs Second Quarter Preliminary91
    Thursday, August 1191
  Import Price Index July91
    Friday, August 1291
  Retail Sales July91
  Producer Price Index July101
  Business Inventories June101
  University of Michigan Consumer Sentiment August Preliminary101
  EUROPE101
    Thursday, August 4111
  U.K.: Monetary Policy and Minutes (August; 12:00 p.m. BST)111
  Russia: Consumer Price Index (July; 1:40 p.m. BST)111
    Friday, August 5111
  Spain: Industrial Production (June; 8:05 a.m. BST)111
  Asia-Pacific121
    Friday, August 5121
  Taiwan Consumer Price Index July121
  Malaysia Foreign Trade June121
    Monday, August 8131
  China Foreign Trade July131
  Taiwan Foreign Trade July131
    Tuesday, August 9131
  China Consumer Price Index July131
  China Producer Price Index July131
  India Monetary Policy August131
    Wednesday, August 10141
  China Monetary Aggregates July141
  Philippines Industrial Production June141
  India Foreign Trade July141
  South Korea Employment July141
  Japan Machinery Orders June141
  Australia Housing Finance June141
  Japan Industry Activity Indexes June141
    Thursday, August 11151
  New Zealand Monetary Policy August151
  South Korea Monetary Policy August151
  Malaysia Industrial Production June151
    Friday, August 12151
  New Zealand Retail Trade 2016Q2151
  China Fixed Asset Investment July151
  China Industrial Production July161
  China Retail Sales July161
  Malaysia GDP 2016Q2161
  Hong Kong GDP 2016Q2161
  India Consumer Price Index July161
  India Industrial Production June161
The Long View173
  Credit spreads171
  Defaults171
  Through the first 31 weeks of 2016, US$-denominated corporate bond issuance showed year-over-year percent changes of a -2.5% drop for investment-grade and a -25.7% plunge for high-yield. US economic outlook181
  EUROPE181
  Asia Pacific191
Ratings Round-Up201
Ratings Round-Up201
Ratings Round-Up211
Market Data224
Moody s Capital Markets Research recent publications263

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Moody's Capital Markets Research—Moody's Analytics offers research, unique tools and best practices for measuring and managing risk through expertise and experience in credit analysis, economic research and financial risk management.

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Cite this Report

  
MLA:
Moody's Capital Markets Research. "Soaring Corporate Debt Bets on Improving Economy (Capital Markets Research)" Aug 04, 2016. Alacra Store. May 04, 2025. <http://www.alacrastore.com/storecontent/Moody-s-Capital-Markets-Research/Soaring-Corporate-Debt-Bets-on-Improving-Economy-Capital-Markets-Research-2141-3121>
  
APA:
Moody's Capital Markets Research. (2016). Soaring Corporate Debt Bets on Improving Economy (Capital Markets Research) Aug 04, 2016. New York, NY: Alacra Store. Retrieved May 04, 2025 from <http://www.alacrastore.com/storecontent/Moody-s-Capital-Markets-Research/Soaring-Corporate-Debt-Bets-on-Improving-Economy-Capital-Markets-Research-2141-3121>
  
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