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Icahn: Junk bonds now ‘even more dangerous’ than stock market
I had read that article and while not necessarily disagreeing (Marty Fridson the junk bond guru feels likewise) markets don't usually top amid gloom but ebulience. It's encouraging that junk is outperforming not just everything in bondland in 2015, but many of the major stock indexes also.
I guess Mr. Icahn was on vacation on another planet last June, when junk really was high-priced at a spread of 3.4 and yield of 5.2, versus 4.6 and 6.1 now. Is he confusing energy junk with the broader category? Maybe - lower down in the article, it sounds like he's worried about his energy investments.
Not to imply that HY couldn't take a fall anytime, like every other stretched asset in the land ...
I have just finished watching the WSW replay and I have to admit I enjoyed the show with Carl Icahn. Maybe it was the setting but he came across very well. My impression of him changed.
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Not to imply that HY couldn't take a fall anytime, like every other stretched asset in the land ...
No more flashy backdrop.