Prices on high-yield bonds have reached their highest level in a few years as investors seek bigger yields and steady returns, ignoring some warning signs. The case for a bull market for high-yield bonds is based on a fall in corporate defaults and a belief that the trend will continue as long as the economy doesn't fall back into recession, according to The Wall Street Journal. So far, the bond boom has been beneficial for the economy because it has allowed major corporations and the government to borrow inexpensively. Continued strong demand could have unintended consequences, however.
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