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Thursday
Aug252011

No Relief For High Yield Spreads

Although the S&P 500 rallied nearly 5% this week leading up to today, high yield spreads saw little relief.  Two weeks ago, high yield spreads widened out above their highs from last Summer.  Since then, the widening has continued.  With spreads now at 745 bps above comparable treasuries, we haven't seen spreads this wide since December 2009.

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