US Credit Risk Gauge Jumps the Most in 6 Months on Growth Fears
- High-grade, high-yield CDX indexes at worst levels this year
- Weak backdrop forced blue-chip firms to postpone bond sales
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US gauges are showing their highest levels of credit risk this year, as investors exhibit fresh concern about the state of the country’s economy in light of tariffs and cuts to the federal workforce.
As numerous investment-grade borrowers opted against issuing bonds Monday, the Markit CDX North American Investment Grade Index widened as much as 4.11 basis points — the most since Sept. 20 — to 55.59. The gauge, which rises as credit risk climbs, is on pace for its highest close since Aug. 13.