Investors in frantic grab for cash as dramatic outflows look inevitable

摘要

Fixed-income investors are cutting their exposure to risk -even in assets they like - to build a war chest of reserves in preparation for a wave of redemptions as markets price in a global recession sparked by the coronavirus pandemic and the oil shock. The corporate bond sell-off of the week before was joined last week by a sell-off of US Treasuries, German Bunds and other government bonds, while the price of spot gold fell to its lowest price since November as investors sold liquid assets to raise cash. Short-dated paper also took a hit as investors scrambled for US dollars and euros.