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

HQMCB34YR • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

6.09

Year-over-Year Change

9.34%

Date Range

1/1/1984 - 7/1/2025

Summary

The 34-Year High Quality Market (HQM) Corporate Bond Spot Rate tracks the theoretical yield for high-quality corporate bonds with a 34-year maturity. This metric provides critical insights into long-term corporate borrowing costs and investor expectations for corporate debt markets.

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 represents a sophisticated measure of corporate bond yields across different maturities, constructed using a comprehensive methodology that reflects high-quality corporate debt instruments. Economists and financial analysts use this rate to assess long-term credit market conditions and corporate financing environments.

Methodology

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

Historical Context

This rate is crucial for evaluating long-term investment strategies, corporate financing costs, and macroeconomic trend analysis in corporate debt markets.

Key Facts

  • Represents theoretical yields for high-quality 34-year corporate bonds
  • Provides insights into long-term corporate borrowing costs
  • 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 financially stable, high-credit-quality issuers with minimal default risk. These bonds typically come from well-established corporations with strong financial standings.

Q: How does the 34-year spot rate differ from shorter-term rates?

A: The 34-year rate reflects long-term investor expectations and provides a more comprehensive view of corporate borrowing costs compared to shorter-term rates. It captures extended economic and market outlook perspectives.

Q: How frequently is this rate updated?

A: The Federal Reserve typically updates this rate regularly, with precise frequencies depending on market conditions and data collection processes. Financial professionals can access the most current data through official Federal Reserve sources.

Q: Why do investors and economists track this rate?

A: This rate helps assess long-term corporate financing costs, evaluate investment opportunities, and understand broader economic trends in credit markets. It serves as a key indicator of corporate financial health and market expectations.

Q: What are potential limitations of this rate?

A: While comprehensive, the rate represents theoretical yields and may not perfectly reflect actual market transactions. It should be used in conjunction with other financial indicators for comprehensive analysis.

Related Trends

Citation

U.S. Federal Reserve, 34-Year High Quality Market (HQM) Corporate Bond Spot Rate [HQMCB34YR], retrieved from FRED.

Last Checked: 8/1/2025