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

HQMCB18Y6M • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

5.86

Year-over-Year Change

6.35%

Date Range

1/1/1984 - 7/1/2025

Summary

The 18.5-Year High Quality Market (HQM) Corporate Bond Spot Rate represents the yield for high-quality corporate bonds with a specific maturity duration. This metric provides critical 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 is a sophisticated financial indicator tracking the theoretical yield curve for investment-grade corporate bonds. Economists and financial analysts use this rate to assess corporate credit markets, investment attractiveness, and potential economic trends.

Methodology

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

Historical Context

This trend is utilized by policymakers, investors, and financial institutions to evaluate corporate credit markets, assess investment strategies, and understand broader economic financing dynamics.

Key Facts

  • Represents yields for high-quality corporate bonds
  • Provides insights into corporate borrowing costs
  • Used by economists and financial professionals for market analysis

FAQs

Q: What does the HQM Corporate Bond Spot Rate indicate?

A: The rate indicates the theoretical yield for high-quality corporate bonds at a specific maturity point. It reflects current market conditions and corporate borrowing costs.

Q: How often is this rate updated?

A: The Federal Reserve typically updates this rate periodically, reflecting current market conditions and corporate bond performance.

Q: Why is the 18.5-year duration significant?

A: The 18.5-year duration provides a specific, standardized view of corporate bond yields, offering a precise snapshot of market credit conditions.

Q: How do investors use this rate?

A: Investors analyze this rate to assess potential returns, evaluate corporate bond investments, and understand broader market credit trends.

Q: What limitations exist in interpreting this rate?

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

Related Trends

Citation

U.S. Federal Reserve, 18.5-Year High Quality Market (HQM) Corporate Bond Spot Rate [HQMCB18Y6M], retrieved from FRED.

Last Checked: 8/1/2025