You can see here how HY continues to appreciate. But does it have much further to go? Keep in mind that the market had originally priced in default rates of 40-50%. Realistically speaking, that is not going to happen. Even default rates of 20-25% have been a bargain, relatively speaking, on a forward looking basis.
I originally posted my concerns about the viability of HY (high yield) debt earlier:
Then came the G20 meeting results:
What this means is that underlying EQUITY issues in the sector -even those not w/in the Markit HY index - have appreciated as well. Most notably, this category includes casinos like Las Vegas Sands and MGM.