32-Year High Quality Market (HQM) Corporate Bond Spot Rate

HQMCB32YR • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

6.07

Year-over-Year Change

9.17%

Date Range

1/1/1984 - 7/1/2025

Summary

The 32-Year High Quality Market (HQM) Corporate Bond Spot Rate represents the theoretical yield for high-quality corporate bonds with a 32-year maturity. This metric provides critical insights into long-term corporate borrowing costs and investor expectations about future economic conditions.

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

The HQM Corporate Bond Spot Rate is a sophisticated financial indicator that tracks the yield curve for high-quality corporate bonds with extended maturities. Economists and financial analysts use this rate to assess corporate credit markets, investment risk, and potential economic trends.

Methodology

The rate is calculated by the Federal Reserve using a complex yield curve estimation methodology that considers multiple high-quality corporate bond characteristics and market conditions.

Historical Context

This trend is crucial for monetary policy analysis, corporate financial planning, and understanding long-term investment strategies across various economic sectors.

Key Facts

  • Represents theoretical yields for high-quality 32-year corporate bonds
  • Provides insights into long-term borrowing costs and market expectations
  • Calculated using advanced yield curve estimation techniques

FAQs

Q: What makes this a 'High Quality Market' rate?

A: The HQM rate focuses on corporate bonds from issuers with strong credit ratings and financial stability. These bonds are considered low-risk investments with predictable returns.

Q: How does the 32-year spot rate differ from shorter-term bond rates?

A: Longer-term rates like the 32-year spot rate reflect more extended economic expectations and typically include higher risk premiums compared to shorter-term bonds.

Q: How frequently is this data updated?

A: The Federal Reserve typically updates the HQM Corporate Bond Spot Rate on a regular monthly or quarterly basis, ensuring current market representation.

Q: Why do investors and economists track this rate?

A: This rate helps assess long-term economic health, corporate borrowing costs, and potential shifts in investment strategies across different market conditions.

Q: What are potential limitations of this indicator?

A: The rate represents theoretical yields and may not perfectly reflect actual market transactions, and it is most meaningful when analyzed alongside other economic indicators.

Related Trends

Citation

U.S. Federal Reserve, 32-Year High Quality Market (HQM) Corporate Bond Spot Rate [HQMCB32YR], retrieved from FRED.

Last Checked: 8/1/2025