October 2024 | US High Yield Market Outlook and Positioning

Tuesday 08 October 2024

Investment Talks

US High Yield Market Outlook and Positioning

October 2024 | Third-quarter returns were strong. Performance of BBs and Bs was fueled by falling government bond yields as the major central banks’ swings to more accommodative policies were offset by mildly widening spreads. The big performance surprise was the extremely strong performance of CCCs and the Distressed index.

01 | Third-quarter high yield index performance was strong as government bond yields fell.

02 | Inflation data continued to indicate a slow decline, with data such as rents stuck in a “two steps forward, one step back” mode.

03 | The US expansion continued, yet indications of weakening labor conditions and consumer spending continued to emerge.

US High Yield Market Outlook and Positioning

Important Information

Unless otherwise stated, all information contained in this document is from Amundi Asset Management as of September 30, 2024. Diversification does not guarantee a profit or protect against a loss. The views expressed regarding market and economic trends are those of the author and not necessarily Amundi Asset Management and are subject to change at any time based on market and other conditions, and there can be no assurance that countries, markets or sectors will perform as expected. These views should not be relied upon as investment advice, a security recommendation, or as an indication of trading for any Amundi product or service. This material does not constitute an offer or solicitation to buy or sell any security, fund units or services. Investment involves risks, including market, political, liquidity and currency risks. Past performance is not indicative of future results. Amundi US is the US business of Amundi Asset Management.

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