- The average CCC-or-below rated junk bonds have yielded between 7.09% and 7.16% over the past two weeks, a new all-time record low.
- AMC Entertainment, which has been talking about how it is trying to stave off a bankruptcy filing, issued $500 million of secured notes in April 2020 to give it more cash to burn, as its theaters were shut down, and as its revenues were collapsing.
- This fresh money being shoveled at deeply troubled companies, by investors that are engaged in a raging chase for yield, gives these companies more cash to burn.
For further details see:
Riskiest Junk-Rated Companies Borrow At Lowest Cost Ever Amid Torrid Yield Chasing