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Gold/Mining/Energy : A to Z Junior Mining Research Site
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To: Ironyman who wrote (3498)2/28/2003 1:57:23 PM
From: Mike M2  Read Replies (1) of 5423
 
Eric, IMO corporate bond rates will rise to reflect increased risk of default as the economy slides back into recession this year. During the 30s the price( value) of lower grade bonds was hammered- rates rose for all but the most credit worthy. Rates on governments were low through this period. Banks were major holders of lower grade bonds going into the crash of 29 and into the 30s - the collapse of lower grade bond prices was a big source of trouble for banks in the 30s. Mike
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