WS #15278
While equities rally, fixed-income markets are showing signs of strain. BlackRock's MBB ETF recorded a record $2.7 billion outflow in September, surpassing levels seen during the Global Financial Crisis and the COVID-19 shock. Additionally, Mercer International skipped a $25.8 million interest payment, signaling ongoing liquidity challenges in the corporate credit space. This divergence suggests the equity rally may be narrow and fragile.
Fixed Income Stress
While equities rally, fixed-income markets are showing signs of strain. BlackRock's MBB ETF recorded a record $2.7 billion outflow in September, surpassing levels seen during the Global Financial Crisis and the COVID-19 shock. Additionally, Mercer International skipped a $25.8 million interest payment, signaling ongoing liquidity challenges in the corporate credit space. This divergence suggests the equity rally may be narrow and fragile.