Significant Drops In CDX And HY Cash Spreads Today As Fed Boosts Risk Appetite

Very little action in the US primary corporate bond market this week, with total issuance (IFR data) of just US$ 3.15 bn in 4 tranches for IG and US$100m in 1 tranche for HY

Published ET

CDX.NA.HY 5Y Spread Intraday | Source: Refinitiv

CDX.NA.HY 5Y Spread Intraday | Source: Refinitiv

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  • S&P 500 Bond Index was up 0.28% today, with investment grade up 0.29% and high yield up 0.20% (YTD total return: -0.01%)
  • The iBoxx USD Liquid Investment Grade Total Return Index was up 0.42% today (Month-to-date: -0.35%; Year-to-date: -0.50%)
  • The iBoxx USD Liquid High Yield Total Return Index was up 0.21% today (Month-to-date: 0.37%; Year-to-date: 3.61%)
  • ICE BofA US Corporate Index (Investment Grade) spread to worst unchanged at 88.0 bp (YTD change: -10.0 bp)
  • ICE BofA US High Yield Index spread to worst down -4.0 bp, now at 330.0 bp (YTD change: -60.0 bp)
  • S&P/LSTA U.S. Leveraged Loan 100 Index up 0.05% today (YTD total return: +2.4%)


  • AAA unchanged at 49 bp
  • AA unchanged at 59 bp
  • A unchanged at 73 bp
  • BBB unchanged at 114 bp
  • BB down by -2 bp at 219 bp
  • B down by -3 bp at 371 bp
  • CCC down by -9 bp at 634 bp

ICE BofAML US Corporate Spreads By Rating | Sources:, Refinitiv data

ICE BofAML US Corporate IG & HY Spreads | Sources: ϕpost, Refinitiv dataICE BofAML US Corporate Spreads By Rating | Sources: ϕpost, Refinitiv data

CDS INDICES (mid-spreads)

  • Markit CDX.NA.IG 5Y down 2.1 bp, now at 87bp (YTD change: -3.1bp)
  • Markit CDX.NA.HY 5Y down 10.1 bp, now at 276bp (YTD change: -17.7bp)
  • Markit iTRAXX Europe down 0.8 bp, now at 45bp (YTD change: -2.7bp)
  • Markit iTRAXX Japan unchanged at 44bp (YTD change: -6.8bp)
  • Markit iTRAXX Asia Ex-Japan down 0.1 bp, now at 71bp (YTD change: +12.9bp)
CDX NA IG & HY Indices Mid Spreads | Sources: ϕpost, Refinitiv dataiTRAXX Credit Indices Mid Spreads | Sources: ϕpost, Refinitiv data


  • Macy's Inc (Country: US; rated: Ba2): down 55.6 bp to 222.1bp (1Y range: 203-1,253bp)
  • Kohls Corp (Country: US; rated: BBB): down 16.9 bp to 115.0bp (1Y range: 107-332bp)
  • American Axle & Manufacturing Inc (Country: US; rated: Ba1): down 16.8 bp to 383.7bp (1Y range: 336-581bp)
  • Petroleo Brasileiro SA Petrobras (Country: BR; rated: B): up 13.5 bp to 216.4bp (1Y range: 175-315bp)
  • NOVA Chemicals Corp (Country: CA; rated: Discontinued): up 13.8 bp to 252.5bp (1Y range: 243-394bp)
  • MBIA Inc (Country: US; rated: Ba3): up 14.4 bp to 376.7bp (1Y range: 365-757bp)
  • Sabre Holdings Corp (Country: US; rated: Ba3): up 19.5 bp to 398.5bp (1Y range: 337-611bp)
  • Genworth Holdings Inc (Country: US; rated: Caa1): up 24.8 bp to 578.0bp (1Y range: 447-737bp)
  • Royal Caribbean Cruises Ltd (Country: US; rated: LGD4 - 59%): up 25.4 bp to 423.6bp (1Y range: 318-1,291bp)
  • RR Donnelley & Sons Co (Country: US; rated: B2): up 28.2 bp to 547.8bp (1Y range: 447-962bp)
  • Carnival Corp (Country: US; rated: LGD5 - 72%): up 41.9 bp to 458.9bp (1Y range: 291-1,214bp)
  • Apache Corp (Country: US; rated: Ba1): up 42.0 bp to 258.8bp (1Y range: 168-453bp)
  • American Airlines Group Inc (Country: US; rated: B2): up 45.5 bp to 817.6bp (1Y range: 596-2,968bp)
  • Domtar Corp (Country: US; rated: Baa3): up 75.0 bp to 313.0bp (1Y range: 64-324bp)
  • Transocean Inc (Country: KY; rated: Caa3): up 478.0 bp to 2,780.5bp (1Y range: 941-7,695bp)


  • Casino Guichard Perrachon SA (Country: FR; rated: WR): down 23.2 bp to 519.6bp (1Y range: 494-1,210bp)
  • Marks and Spencer PLC (Country: GB; rated: Ba1): down 9.0 bp to 175.3bp (1Y range: 157-349bp)
  • Premier Foods Finance PLC (Country: ; rated: B1): down 7.0 bp to 165.9bp (1Y range: 141-273bp)
  • Altice Finco SA (Country: LU; rated: Caa1): down 6.6 bp to 362.6bp (1Y range: 317-477bp)
  • CMA CGM SA (Country: FR; rated: B1): down 4.9 bp to 314.2bp (1Y range: 309-734bp)
  • Ardagh Packaging Finance PLC (Country: IE; rated: B1): up 5.3 bp to 215.2bp (1Y range: 188-272bp)
  • Louis Dreyfus Co BV (Country: NL; rated: ): up 5.8 bp to 105.4bp (1Y range: -101bp)
  • Rexel SA (Country: FR; rated: WR): up 6.8 bp to 105.6bp (1Y range: -104bp)
  • Ladbrokes Coral Group Ltd (Country: GB; rated: WR): up 6.9 bp to 178.9bp (1Y range: 164-227bp)
  • Air France KLM SA (Country: FR; rated: B-): up 7.8 bp to 420.0bp (1Y range: 392-1,211bp)
  • Virgin Media Finance PLC (Country: GB; rated: WR): up 8.8 bp to 247.5bp (1Y range: 222-325bp)
  • ArcelorMittal SA (Country: LU; rated: WR): up 9.8 bp to 126.7bp (1Y range: 121-248bp)
  • Deutsche Lufthansa AG (Country: DE; rated: Ba2): up 14.6 bp to 271.0bp (1Y range: 236-421bp)
  • Novafives SAS (Country: FR; rated: Caa1): up 15.7 bp to 895.0bp (1Y range: 716-1,205bp)
  • TUI AG (Country: DE; rated: LGD4 - 50%): up 20.0 bp to 744.7bp (1Y range: 590-1,799bp)


  • Federal Farm Credit Banks Funding Corp (Agency | Jersey City, New Jersey, United States | Rating: AA+): US$190m Bond (US3133EM4H22), fixed rate (2.20% coupon) maturing on 2 September 2036, priced at 100.00, callable (15nc1)
  • Huafa 2020 I Company Ltd (Financial - Other | China (Mainland) | Rating: BBB): US$200m Bond (XS2379456895), fixed rate (2.95% coupon) maturing on 28 February 2025, priced at 100.00, non callable


  • Deutsche Apotheker und Aerztebank eG (Banking | Dusseldorf, Germany | Rating: A+): €250m Hypothekenpfandbrief (Covered Bond) (XS2381584940), floating rate (EU03MLIB + 60.0 bp) maturing on 9 February 2026, priced at 102.27, non callable


  • Niigata E Port Biomass Power, signed a US$ 282m Revolving Credit / Term Loan, to be used for project finance.