JPMorgan Chase: The plunge in the largest tech stocks does not constitute a credit issue
Golden Finance reports that JPMorgan believes the trillion-dollar stock market value evaporation triggered by DeepSeek on Monday has little impact on the bond market, but concerns about generally rising volatility may have a negative impact on credit spreads. Despite the stock market decline, high-rated bond spreads averaged 1 basis point wider, and the CDX investment-grade bond index expanded by 0.7 basis points. Eric Beinstein and Nathaniel Rosenbaum, credit strategists at JPMorgan wrote in a report that given the indirect connection between DeepSeek's technological progress and high-rated credit risk, "this is a logical result."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Circle has minted 5.75 billion USDC on the Solana chain so far this year
OpenAI is in talks to raise new funds of 40 billion US dollars
Tether will integrate USDT into the Bitcoin Lightning Network