largest underperformance in a long time, loans / CLOs have more software risk than hy. CLO equity tranche weakness is also troubling.
HY (junk) vs US Equities this week, noticeable - most significant underperformance, especially mid-week, hearing real downside hedges were put on HY CDX
SOFR futures rate of change acceleration in Feb is eye opening, rate cuts coming, but the speed at which players are betting on more cuts is the eye opener.
@TheStalwart Things that stand out in 2026
Staples $XLP > S&P 500 by close to 15% in Jan - Feb, has never happened before to start a year, in 2000 outperformance was 35%, 2008 21%.
Financials $BAC < $SPY by 9% in Jan - Feb, extremely rare. KKR, BX off 30% ytd.
Leveraged loans $BKLN vs $HYG largest underperformance in a long time, loans / CLOs have more software risk than hy. CLO equity tranche weakness is also troubling.
HY (junk) vs US Equities this week, noticeable - most significant underperformance, especially mid-week, hearing real downside hedges were put on HY CDX
SOFR futures rate of change acceleration in Feb is eye opening, rate cuts coming, but the speed at which players are betting on more cuts is the eye opener.
@lisaabramowicz1 Things that stand out in 2026
Staples $XLP > S&P 500 by close to 15% in Jan - Feb, has never happened before to start a year, in 2000 outperformance was 35%, 2008 21%.
Financials $BAC < $SPY by 9% in Jan - Feb, extremely rare. KKR, BX off 30% ytd.
Leveraged loans $BKLN vs $HYG largest underperformance in a long time, loans / CLOs have more software risk than hy. CLO equity tranche weakness is also troubling.
HY (junk) vs US Equities this week, noticeable - most significant underperformance, especially mid-week, hearing real downside hedges were put on HY CDX
SOFR futures rate of change acceleration in Feb is eye opening, rate cuts coming, but the speed at which players are betting on more cuts is the eye opener.
