FS credit market commentary

MAY: Steps to reopen the economy and progress toward a COVID-19 vaccine created an optimistic sentiment for much of the month, as HY Bonds, Senior Secured Loans and structured products posted strong returns | Interest rates remained relatively rangebound and the duration-sensitive Barclays Agg had a slight gain
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FS credit market commentary

APRIL: Markets broadly rallied in April on the back of unprecedented stimulus by Congress and the Federal Reserve | HY Bonds posted their strongest monthly performance since January 2019 while Senior Secured Loans recorded their largest one-month gain since 2009 | A decline in interest rates following an early-month spike boosted the duration-sensitive Barclays Agg
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FS credit market commentary

MARCH: HY Bonds and Senior Secured Loans each endured their worst month since 2008, ending down -11.76% and -12.37%, respectively, as the global rout in risk assets continued | Historically, credit markets have been resilient, performing well following sell-offs and rewarding investors for buying in at or near current spread levels
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FS credit market commentary

FEBRUARY: The last week of February saw a global sell-off in risk assets as markets reacted to news of the coronavirus | Leveraged credit markets slid alongside a steeper drop in equities | The Barclays Agg benefited from its long duration, returning 1.80% as rates hit all-time lows during the month
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FS credit market commentary

JANUARY: January was a mixed month for leveraged credit | HY Bonds ended January flat while Senior Secured Loans returned 0.56% | The duration-sensitive Barclays Agg rallied as rates fell over 40 bps over the course of the month.
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FS credit market commentary

DECEMBER: December was a strong month for leveraged credit, with HY Bonds and Senior Secured Loans posting returns of 2.09% and 1.60%, respectively | The duration-sensitive Barclays Agg ended down slightly on the month
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FS credit market commentary

NOVEMBER: Leveraged credit rose in November, with loans outperforming HY Bonds | The duration-sensitive Barclays Agg was unable to recover from an early-month rate spike, ending down slightly on the month
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