Exchange-traded funds benchmarked against high-yield corporate bonds gained on Wednesday, taken as a bullish sign for the equities segment, ETF Trends reports. The IShares High Yield Corporate Bond and the SPDR Barclays High Yield Bond added more than 1% as they trimmed more of their losses from earlier this month. These bonds, called “junk,” have higher yields to pay off investors for the additional credit risk. Certain higher-risk sectors of the credit market such as high yield still need to see improvement on balance sheets, according to BlackRock.
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