viernes, 8 de agosto de 2014

Investors pulling out of junk bonds...

In the week ended August 6, investors yanked a record US$7.1 billion out of junk bond funds, the Wall Street Journal reports. The prior record of US$4.6 billion was set in June 2013. The week ending August 6 was the fourth straight week in which investors cut their holdings in junk bond funds and a marked contrast to steady inflows early in the second quarter.

At the same time, yields on US treasuries have been declining.

The funds flows out of junk bonds are another reason to believe that portfolio investment flows are behind the recent depreciation of the peso.


No hay comentarios:

Publicar un comentario