Inflation poses high risk for investment-grade bonds, Morgan Stanley says

With rising inflation and rate hike fears, one exchange-traded fund that tracks investment-grade corporate bonds on Friday suffered its second-largest day of outflows ever, and high-yield bond investors are also getting twitchy.
Photo: Lucas Jackson/Reuters/Ritzau Scanpix
Photo: Lucas Jackson/Reuters/Ritzau Scanpix
By Caleb Mutua, bloomberg

With inflation fears rising and interest rates looking increasingly likely to be hiked soon, investment-grade corporate bonds are at high risk of getting hit in the coming months, according to Morgan Stanley.

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