Global corporate bond yields were little changed over the month. Corporate bonds found support from expectations that the US and China would imminently sign off on a ‘phaseone’ trade deal. US economic data released during the month was relatively robust, with services sector growth appearing to accelerate over October. Although survey data suggested US manufacturing activity had declined in October, the gauge suggested it did so at a slower rate than in the prior month.
However, separate survey data indicated the pace of growth in eurozone services had declined in November. US thirdquarter growth was revised up to 2.1% versus an earlier 1.9% estimate, while Germany narrowly escaped recession, registering growth of 0.1% in the third quarter. US pharmaceutical group AbbVie issued $30bn of debt to help finance its $83bn acquisition of Allergan.
*Source: Lipper to 29-Nov-2019, total return. Indices rebased to zero at at 31-Oct-2019.