BTZ - The Bond Market Has Been Signaling This Sell-Off For Over A Year
Corporate Spreads
The bond market has a wide range of information and you often need to step outside of the Treasury market to see the entire picture.
Looking at the spread between Baa Corporate bond yields, investment grade bonds, and CCC corporate bond yields, junk bonds, can provide information regarding credit risk, economic activity, and equity market risk (SPY). Monitoring the junk bond market in isolation (JNK) can provide decent information but the spread between junk grade (JNK) and corporate grade (LQD) gives a more three-dimensional view