Using transaction data from the first half of 2020, we examine the reaction of corporate credit spreads to the Federal Reserve's monetary policy announcements. We find evidence that the bond markets are segmented across credit ratings, which led to different initial reactions across bonds with...

This article documents the difference in corporate bond issuance between the euro area (EA) and the United States (US) in 2020, especially in the high-yield (HY) segment, and discusses the role that the monetary policy measures undertaken by the US Federal Reserve (Fed) and the ECB in response...

We analyze the price and liquidity effects in the U.S. corporate bond market caused by the Covid-19 crisis. We carefully consider the different impact of social distancing measures on firms. We find significant cross-sectional differences, i.e., bonds of firms that are more affected by these...

This study investigates whether and how the pandemic is priced in the bond market in China. Using data of COVID-19 daily confirmed cases by city, we find a significant positive relationship between the pandemic outbreak and corporate credit spreads, implying compensation for investor risk...