Credit Cracks Spur Historic Moves in Systematic Stock Trades

  • Strategy betting on profitable stocks in best run since 2001
  • High-leverage shares are dumped as credit stress intensifies
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As U.S. stocks slump anew and recession angst snowballs, defense is now the only game in town.

Equity investors are punishing the weakest companies and rewarding the strongest as earnings expectations plunge thanks to the coronavirus outbreak, while exposing shakyBloomberg Terminal foundations of credit markets.