As a sea of red spread across global equity and fixed-income markets this week, fans of risky assets are finding reasons to see it merely as a temporary blip.
In their view, a still-strong business cycle can overcome the pullback in monetary stimulus that helped to send the S&P 500 to its worst two-day loss in eight months while Treasuries tumbled. After gaining 6.4 percent in 2017, the Bloomberg Barclays U.S. Corporate Investment Grade Index is down 1.1 percent this year even as spreads sit near a decade low.
