Market Extra: Investors scour markets for recession signs. Here’s what this closely watched credit gauge says.

by | Apr 19, 2023 | Stock Market

Investors are worried about an economic slowdown, but the corporate credit market is not screaming recession. Spreads on corporate bonds with low investment-grade ratings have not widened in line with the rise seen ahead of past economic contractions in 2001-2002, 2007-2008 and 2020, said John Silvia, founder of Dynamic Economic Strategy, in a research note Wednesday. He was referencing spreads over 10-year U.S. Treasurys for bonds …

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