That means corporate bond prices fall, so corporate bond yields rise. High-yield (junk) bonds have the highest default risk, and default expectations have more influence on their prices.

Highlights,Bonds with speculative credit ratings of BB (S&P) or Ba (Moody’s) or lower.,Offer higher yields to compensate for ...

With that said, check out my MoneyShow Chart of the Day ... is the difference (aka “spread”) between yields on high yield (or “junk”) bonds and yields on underlying US Treasuries.

Junk-debt returns will fall short of lofty expectations, but they’ll likely do better than stocks for the first time since the global financial crisis, according to high-yield guru Marty Fridson.

But Fridson calls that “grasping at straws” and notes that the high-yield bond market “sports a risk premium grossly inadequate for its current risk.” US junk spreads widened earlier this ...