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The HYG etf is a very convenient way to figure out whether it's a risk on or risk off environment with high yield corporate debt. The charts are indicating a risk off, with fears of corporate defaults. The selling of US corporate bonds has been unprecedented, almost at Covid levels. #Corporatedebt #riskoff #defaultrisk When HYG prices go up, the yield (interest rate) on these bonds falls, because bond prices and yields move inversely. Higher HYG prices often reflect: Increased investor confidence in the economy or corporate creditworthiness Expectations of lower default risk among high-yield issuers A search for higher income in a low-interest-rate environment