It’s time to start paying attention to the stock market’s ‘biggest risk’

FILE PHOTO: Traders work on the floor of the New York Stock Exchange, (NYSE) in New York, U.S., February 6, 2018. REUTERS/Brendan McDermidThomson Reuters

  • Credit spread is the difference between yields with the same maturities and varying quality. 
  • The credit spread has widened over recent weeks. 
  • A widening credit spread is the “biggest risk” to the stock market, according to one analyst. 

Tightening credit conditions could mean bad news for the stock market. 

The credit spread, which is basically the difference between yields with the same maturities but varying quality, is widening. The 10-year Treasury yield has fallen since last month and the 10-year BBB corporate bond yield has been on a slight climb. 

See the rest of the story at Business Insider

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Post Author: martin

Martin is an enthusiastic programmer, a webdeveloper and a young entrepreneur. He is intereted into computers for a long time. In the age of 10 he has programmed his first website and since then he has been working on web technologies until now. He is the Founder and Editor-in-Chief of BriefNews.eu and PCHealthBoost.info Online Magazines. His colleagues appreciate him as a passionate workhorse, a fan of new technologies, an eternal optimist and a dreamer, but especially the soul of the team for whom he can do anything in the world.

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