ICE BofA 7-10 Year US Corporate Index Effective Yield

BAMLC4A0C710YEY • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

5.08

Year-over-Year Change

-2.31%

Date Range

10/25/2021 - 8/6/2025

Summary

The ICE BofA 7-10 Year US Corporate Index Effective Yield tracks the average yield of investment-grade corporate bonds with 7-10 year maturities. This metric provides critical insight into corporate borrowing costs and overall market sentiment for medium-term corporate debt.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This index represents the weighted average effective yield of US dollar-denominated investment-grade corporate debt with remaining terms to final maturity between 7 and 10 years. Economists and investors use this indicator to assess corporate credit market conditions and potential economic trends.

Methodology

The yield is calculated by Bank of America using a market-weighted approach across a comprehensive set of qualifying corporate bond issues.

Historical Context

Central banks and financial analysts use this metric to evaluate corporate credit market health, potential inflationary pressures, and broader economic investment conditions.

Key Facts

  • Covers investment-grade corporate bonds with 7-10 year maturities
  • Provides a comprehensive view of medium-term corporate borrowing costs
  • Reflects market expectations about corporate financial health and economic conditions

FAQs

Q: What does this yield indicate about the corporate bond market?

A: The yield reflects the average return investors can expect from investment-grade corporate bonds in the 7-10 year range. Higher yields typically suggest higher perceived risk or changing market conditions.

Q: How often is this index updated?

A: The index is typically updated daily, reflecting real-time changes in corporate bond market conditions and investor sentiment.

Q: Why do investors track this specific yield range?

A: The 7-10 year range represents a medium-term investment horizon that balances potential returns with manageable interest rate risk.

Q: How does this yield relate to economic policy?

A: Central banks and policymakers use this metric to understand corporate borrowing costs and potential impacts on economic growth and investment.

Q: What limitations exist in interpreting this index?

A: The index only represents investment-grade bonds and may not capture the full complexity of corporate debt markets or specific sector variations.

Related Trends

Citation

U.S. Federal Reserve, ICE BofA 7-10 Year US Corporate Index Effective Yield [BAMLC4A0C710YEY], retrieved from FRED.

Last Checked: 8/1/2025