Bond Investors Got a Fever -- and the Only Prescription Is More Yield

Johnson & Johnson (NYSE: JNJ) recently broke a new record -- but it wasn’t for the strongest Tylenol in history. J&J has now posted the lowest yields ever on a corporate 10-year and 30-year bond -- 2.95% and 4.50% respectively. For comparison’s sake, that’s 21 and 56 basis points more than comparable Treasury bonds. This might be just an extraneous data point, not representative of corporate bonds as a whole. But a host of other companies -- not all necessarily even AA-rated -- have also recently issued bonds at absurdly low yields:... Read more