As Treasury yields surge, the possibility of rate cuts takes a back seat, with market pundits speculating they might not materialize until the year’s end. This pushback in Federal Reserve interest-rate cut expectations stems from robust U.S. business activity and a tight labor market, sparking a shift in trader sentiment.
To that end, let’s look at the best-performing high-yield bond ETFs SPDR Bloomberg High Yield Bond ETF (JNK), iShares Broad USD High Yield Corporate Bond ETF (USHY), and iShares iBoxx $ High Yield Corporate Bond ETF (HYG) with a greater potential for returns and enhanced diversification.
