Another positive week in the HY segment with the index posting a positive performance close to +70bps. The first 2 weeks of October erased the loss in the tumultuous last week of September. Even if new cases of Covid 19 are rising the hope for new stimulus in the United States supported markets and risky assets. 

Also the volatility coming from the news regarding the positivity of Trump, has been absorbed quite quickly from the market.

European high yield debt issuance slowed since the end of the summer. Safer companies dominated, with 80 percent of issuers rated BB, the top junk category, compared with 70 percent the year before. Selection is getting every day more important when weaker companies (CCC rated) struggle to place their debt in the market.