Mark Wiseman, the chief executive officer of Canada Pension Plan Investment Board, walked into the high-end New York department store Bergdorf Goodman in the mid-1990s looking for a suit. He left empty-handed.
A gauge of U.S. company credit risk rose from a six-year low as housing data stoked speculation the Federal Reserve may begin cutting back stimulus next month. Wise Metals Group LLC sold $650 million in five-year bonds.
A measure of U.S. company credit risk rose to the highest level in two weeks as the Federal Reserve said it needs to see more evidence that the economy will continue to improve before reducing monetary stimulus.
Higher risk assets are back in demand as investors turn their attention to the sudden prospect of Federal Reserve stimulus extending into 2014 after a government shutdown did more to damage the reputations of lawmakers than to fixed-income securities.
A gauge of U.S. corporate credit risk declined after a report showed employers added fewer workers than forecast in July, reducing concern the Federal Reserve will slow the pace of its stimulus measures.
U.S. corporate bond sales in August may reach $100 billion, the most on record for the month, as companies benefit from falling borrowing costs and seek to raise debt before financial firms come to market in September, according to Aladdin Capital LLC.
Barrick Gold Corp., the largest miner of the metal, has gone from the worst performer to the best among Canadian firms with U.S. dollar bonds, on bets gold prices have bottomed out after the biggest drop in 90 years.