Corporations are issuing debt on record terms (and in the junk market in record volume).  IBM recently issued three year paper at a meager 1 percent.  And JNJ just set the record for longer paper — “around 3.10% for the 10-year maturity and 4.5% for the 30-year paper if market conditions hold.”  In a nutshell, while there are many variables at play, front and center is investors’ desire for safety and income.

It seems impossible to get 1.5% on cash these days. Savings accounts are paying better than CDs! Remember when you could save money?