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

HQMCB99Y6M • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

6.34

Year-over-Year Change

11.62%

Date Range

1/1/1984 - 7/1/2025

Summary

The 99.5-Year High Quality Market (HQM) Corporate Bond Spot Rate is a critical financial indicator that tracks long-term corporate bond yields across high-quality credit markets. This metric provides crucial insights into corporate borrowing costs and overall economic 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 represents a sophisticated measure of corporate bond yields, calculated using a comprehensive methodology that considers multiple high-quality corporate bond characteristics. Economists and financial analysts use this rate to assess long-term credit market trends and potential economic shifts.

Methodology

The rate is calculated by the Federal Reserve using a complex weighted average of high-quality corporate bond yields across different maturities and credit ratings.

Historical Context

This indicator is extensively used in monetary policy analysis, investment strategy development, and macroeconomic forecasting to understand corporate credit markets and potential economic trajectories.

Key Facts

  • Represents yields for high-quality corporate bonds over an extended 99.5-year period
  • Provides a comprehensive view of long-term corporate borrowing costs
  • Used by policymakers and investors to assess economic credit conditions

FAQs

Q: What makes this corporate bond rate 'high quality'?

A: High-quality bonds are issued by financially stable corporations with strong credit ratings, typically AAA or AA, indicating lower default risk.

Q: How often is this rate updated?

A: The HQM Corporate Bond Spot Rate is typically updated regularly by the Federal Reserve, reflecting current market conditions and credit dynamics.

Q: Why is the 99.5-year timeframe significant?

A: The extended timeframe allows for comprehensive historical analysis of corporate bond yield trends across multiple economic cycles.

Q: How do investors use this rate?

A: Investors analyze this rate to assess potential investment returns, compare bond yields, and make informed decisions about corporate debt investments.

Q: What are the limitations of this indicator?

A: While comprehensive, the rate represents a specific market segment and should be considered alongside other economic indicators for a complete analysis.

Related Trends

Citation

U.S. Federal Reserve, 99.5-Year High Quality Market (HQM) Corporate Bond Spot Rate [HQMCB99Y6M], retrieved from FRED.

Last Checked: 8/1/2025