Like the US stock market, the junk bond market is also "very optimistic" about the US economy

In the context of uncertain economic prospects in the United States, the junk bond market is sending optimistic signals, with spreads falling to a historical low of about 2.88 percentage points, indicating strong investor confidence. Nicholas Colas of DataTrek Research pointed out that the optimism among bond investors is similar to that in the U.S. stock market, and the low spreads suggest that a recession is not anticipated. The junk bond market performed well, with the iShares iBoxx and SPDR Bloomberg High Yield Bond ETFs achieving total returns of 5% and 4.8%, respectively, in the first half of 2025. Although tariff policies have raised concerns, industry insiders believe that their impact is manageable