“Junk Bonds Signal Revival of Credit” is the headline story in the Report on Business – Globe and Mail in its Friday April 17th 2009 edition. This comes after 6 weeks and 4 weeks of rallies on the Toronto Stock Exchange and New York Stock Exchanges respectively. And if the banks are into issuing and trading Junk – what could be a better signal of the turnaround in the Credit markets.
Well this following Monday things are shaky again as investors await the publishing of the results in early May solvency stress tests. On NBC’s Meet the Press Larry Summers was cautiously optimistic. But the horrid jobs reports still leaves a Consumption Economy with a badly sputtering engine.