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The article presents a study on the economic data of the Corporate Bond Credit in the U.S. According to the author, movements in the corporate bond spreads are important to many investors and potentially informative forward-looking metrics of market sentiment. The studies reviewed show that more than half of the variation in corporate bond credit spreads is not related to the financial health of the issuing firm, but rather reflects effects such as compensation for liquidity risk.

The article discusses corporate debt markets, the issuance of corporate bonds in the U.S., and an analysis of the impact of the 2012 American presidential election on interest rates. It states that several companies such as the retailer Costco Wholesale Corp. have issued billions of dollars in debt as a means of paying out large dividends. An examination of the U.S. Federal Reserve Board's policy on interest rates is also provided.

The article discusses the finances of the international banking industry, focusing on large banks in Europe. A loss of liquidity by banks in Europe caused by fears among financiers that the banks will suffer large losses on their holdings of euro area countries' public debts is examined. An increase in the spreads of credit default swaps on corporate bonds of large U.S. banks is discussed.

The article discusses developments in the pensions industry, particularly in the U.S., as of late July 2016. Also cited are the more aggressive approach to risk of public funds than private funds in the country due to a regulatory incentive, the use by private-sector pension funds to use corporate-bond yields to discount future liabilities, and the accounting rules in the U.S. that established perverse incentives for public pension funds.

The article examines green bonds, corporate bonds issued to finance environmental activities of corporations, and their growing use by companies and purchase by institutional investors.

The author offers opinions on the bond market in developing countries. It is stated that the higher prices for corporate bonds of companies in countries such as Brazil, India and Singapore is not necessarily a bubble, as these bonds represent an alternative to the extremely low rate of return on bonds and government securities in Europe and the U.S.

The article examines government securities prices. Yields on U.S. Treasury bonds are at historic lows of less than one percent as investors have sought a safe haven during the financial crisis. Government securities yields have begun to rise in early 2009, however, as the spread between those rates and the returns offered by stock dividends and corporate bonds grew to levels of over 3 percent.

The article discusses corporate bonds that are being offered by the supermarket chain Tesco. This week Tesco approached the bond markets with an unusual lure to creditors. Its long-term bonds included a covenant that would protect bondholders' interests in the unlikely event that Tesco is gobbled up. Bankers say it is not the first time that Tesco's bonds have included such a "change of control" clause. Other companies are being pressed to follow its lead. There are two reasons why. First is the pace and scale of takeover activity around the world, with bidders employing cheap debt in colossal volumes. Second, creditors that have lent with few strings attached in recent, easy-money years are learning to be a bit more demanding. The very attributes that attract bondholders to a borrower, such as large, stable cashflow to service debt, are the same that entice a leveraged buy-out (LBO) fund. So without change-of-control safeguards, the danger of being blindsided is growing. According to Louise Purtle, a strategist at CreditSights, a research boutique, two of the biggest recent deals in America, last year's $11.4 billion LBO of SunGard Data Systems, and Koch Industries' takeover of Georgia-Pacific, both gave bondholders an unwelcome surprise. In Europe KPN, a Dutch telecommunications group, sold bonds last week which included a change-of-control clause--a "sine qua non", says one Latin-speaking banker, because of the risk of a buy-out. And last month BAA, operator of London's biggest airports, faced a possible takeover bid just as it was issuing bonds with no change-of-control clause.

The article presents information on the U.S. financial market. It is noted that compared with Treasury bonds, yields on corporate debt have shot up to levels not seen since before the 1987 stockmarket crash or, before that, the 1930s depression. In part, corporate bonds look so cheap because Treasury bonds are in short supply and hence so dear. It is informed that mutual funds that specialise in corporate bonds have done badly of late.

The article focuses on the satellite radio broadcasting company Sirius XM Radio. The company is heavily indebted in large part due to the expense of hiring well-known radio personalities such as Howard Stern. Chief Executive Officer Mel Karmazin must find a new source of capital before $175 million in bonds come due on February 17, 2009 or be forced to declare bankruptcy.