Corporate Bonds in Europe Suffer Biggest Fall Since Pandemic Began

Corporate bonds in Europe have taken their biggest hit since 2020 over the past week after a sudden pivot from the European Central Bank toward tighter policy reanimated worries about the region’s economic health.  

“The ECB’s unexpectedly hawkish stance has been a detonator for a selloff,” said Vincent Benguigui, a credit portfolio manager at Federated Hermes.