Junk Bond Sales Setting July Record in Europe as Returns Recover
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High-yield debt issuance is surging to the busiest July on record as Europe’s economy shows signs of recovery a year after European Central Bank President Mario Draghi promised to do “whatever it takes” to save the euro.
Italian automaker Fiat SpA led 6.2 billion euros ($8.2 billion) of speculative-grade sales, up 55 percent from June, according to data compiled by Bloomberg. After two months of losses, the securities are handing investors 1.9 percent in July, beating the 0.7 percent return from non-financial investment-grade securities, Bank of America Merrill Lynch index data show.