Recently, the junk bond market has enjoyed a rally in bond prices and an upward surge in new offerings. Reasons for this include:

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All of the listed options contribute to the rally in junk bond prices and the increase in new offerings. New junk bond mutual funds provide a significant demand for these bonds, companies are increasingly bypassing traditional bank loans in favor of bond issuance, and a rise in corporate mergers financed through junk bonds adds to the demand and issuance of these financial instruments.

Recently, the Junk Bond Market Has Enjoyed a Rally in Bond