March 3rd, Jinshi Data, the Netherlands Bank stated in a report that US tariffs may weaken global economic performance and potentially harm the performance of corporate bonds. The Interest Spread of credit has reached nearly the lowest level on record, so there is almost no further room for improvement, making credit assets vulnerable to dumping. They stated: "A more negative tariff scenario could trigger a global economic downturn, severely impacting credit (assets)." The Netherlands Bank stated that the risk-return balance has dropped the attractiveness of credit assets.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
Dutch Bank: Tariff concerns may severely impact credit assets
March 3rd, Jinshi Data, the Netherlands Bank stated in a report that US tariffs may weaken global economic performance and potentially harm the performance of corporate bonds. The Interest Spread of credit has reached nearly the lowest level on record, so there is almost no further room for improvement, making credit assets vulnerable to dumping. They stated: "A more negative tariff scenario could trigger a global economic downturn, severely impacting credit (assets)." The Netherlands Bank stated that the risk-return balance has dropped the attractiveness of credit assets.