Save US Credit Spread vs. DXY Index
Credit spread is also an indicator for US dollar liquidity. When the economy is sluggish, the lending and borrowing of the USD tighten, investors expect higher return from high-yield corporate bonds, causing credit spread to widen and liquidity to increase.
Merrill Lynch CCC-grade high-yield bond yield
- US 10-year government bond yield (risk-free interest rate)
= MM credit risk spread
It reflects the market's expectations for future corporate default risk.
US Credit Spread (L)2022-01-176.26 %
US Dollar Index (R)2022-01-1995.75