Global Credit Market Turmoil Rips From Australia to U.S. Munis
- Muni bonds extend worst rout since 1987 as short-yields surge
- U.S high-grade spreads at 2009 high; ECB begins bond buying
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The fallout from the worst rout in credit markets since the global financial crisis is spreading, threatening everything from mortgage debt in Australia to local government bond markets in the U.S.
As the deadly coronavirus pandemic brought more grim headlines Wednesday, risk gauges in the U.S. and Europe pushed out further in another volatile session. The crisis has also closed in on Japan’s $650 billion local credit market, which had been an oasis of calm.