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Corporate bonds (since debt was and still is super cheap as a result of QE) and student debt (most kinds of debt slowed down at least briefly during the GFC; st
by Armisael16 8y ago
Corporate bonds (since debt was and still is super cheap as a result of QE) and student debt (most kinds of debt slowed down at least briefly during the GFC; student debt did not).
- cheez 8y agoI don't think corporate bonds are in that much trouble. https://fred.stlouisfed.org/graph/?g=lGQL https://fred.stlouisfed.org/graph/?g=lGQL
- Armisael16 8y agoCertainly not at present; all the analysis I've seen is simply on the raw quantity of outstanding corporate debt right now. The concern (where it exists) is universally about the ability of businesses to handle their debt load if some other shock suddenly makes it less cheap.
- cheez 8y agoYes, it could be a very quick chain reaction. Good point.