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

HQMCB74YR • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

6.30

Year-over-Year Change

11.31%

Date Range

1/1/1984 - 7/1/2025

Summary

The 74-Year High Quality Market (HQM) Corporate Bond Spot Rate represents a critical long-term benchmark for corporate bond yields across high-quality debt instruments. This metric provides crucial insights into corporate borrowing costs and overall market credit 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 tracks the theoretical yield for high-quality corporate bonds with varying maturities, offering economists a comprehensive view of corporate debt markets. It reflects the cost of capital for top-tier corporations and serves as a key indicator of market liquidity and investor sentiment.

Methodology

The rate is calculated using a sophisticated yield curve methodology that analyzes high-quality corporate bond prices and yields across multiple maturity ranges.

Historical Context

Policymakers and financial analysts use this rate to assess corporate credit markets, monetary policy implications, and broader economic investment trends.

Key Facts

  • Represents yields for high-quality corporate bonds across multiple maturity periods
  • Provides a comprehensive view of corporate borrowing costs
  • Used by economists and policymakers to assess market conditions

FAQs

Q: What makes a corporate bond 'high quality'?

A: High-quality corporate bonds are issued by financially stable companies with strong credit ratings, typically from AAA to BBB grade.

Q: How often is the HQMCB74YR rate updated?

A: The rate is typically updated regularly, reflecting current market conditions and corporate bond pricing.

Q: Why do investors care about this spot rate?

A: The rate helps investors understand corporate borrowing costs, assess investment risks, and make informed decisions about fixed-income securities.

Q: How does this rate relate to Federal Reserve policy?

A: The rate provides insights into credit market conditions that can influence Federal Reserve monetary policy decisions.

Q: What are the limitations of this data point?

A: The rate represents a theoretical benchmark and may not perfectly reflect all individual corporate bond transactions or market nuances.

Related Trends

Citation

U.S. Federal Reserve, 74-Year High Quality Market (HQM) Corporate Bond Spot Rate [HQMCB74YR], retrieved from FRED.

Last Checked: 8/1/2025