Junk Bonds Snap Seven-Week Winning Streak in Europe on Tapering
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Junk debt investors lost money for the first time since June in Europe this week as bondholders anticipate the Federal Reserve slowing stimulus.
High-yield notes from companies including Italian carmaker Fiat SpA and Portugal Telecom SGPS SA, the country’s biggest telecommunications company, lost investors an average 0.3 percent over the period, paring a 2.6 percent gain in the longest winning streak since Jan. 11, according to Bloomberg bond index data. Investment-grade bonds also forfeited 0.3 percent, a second week of losses.