Equities are trading higher this morning but credit markets continue to lag as investors remain cautious ahead of the Fed statement, which is expected to provide more detail on the timing of a potential rate hike. Treasuries are lower today for the first time this week with the yield on the 10yr note widening by about 1bp in early trading. High yield is opening flat to slightly higher and volume remains on the light side this morning; redemptions have been the main driver of activity so far this week. Fund flows for Tuesday were outflows totaling $1.579 billion with broad based redemptions from both passive and active strategies, and we’re now tracking at $2 billion outflow for the week. No new transactions have been announced yet this morning leaving just one deal on the calendar for today’s pricing for Tribune Media, expected to price $1 billion in new debt at 5.75% via Deutsche Bank.

Daily fund flow information sourced from J.P. Morgan.