Credit and leverage
US High Yield OAS
The option-adjusted spread on US high-yield corporate bonds, the extra yield demanded over Treasuries. It widens as default risk perception rises, making it one of the fastest gauges of stress in risk assets.
US High Yield OAS latest observations
- Observed
- 2026-10-23
- Latest
- 3.38 %
- Change from previous
- ▼ -0.02 pp
Check the observation dates in both the summary and chart; release and refresh times can differ.
At a glance
US High Yield OAS: latest value and prior change
As of 2026-10-23, US High Yield OAS is 3.38 %. It is 0.02 pp lower than 3.40 % on 2026-10-22.
Across 877 available observations from 2023-05-30 to 2026-10-23, the latest value is at the tie-adjusted 74th percentile.
- Observed on
- Default comparison window
- 2023-05-30–2026-10-23
- Observations · observed cadence
- 877 · Daily
- Data source
- FRED
A high or low percentile does not by itself make the indicator positive, negative, or a buy or sell signal.
2026-07-23 → 2026-10-23 · %
- First
- 2.77 %
- 2026-07-23
- Latest
- 3.38 %
- 2026-10-23
- Window low
- 2.60 %
- 2026-08-28
- Window high
- 3.40 %
- 2026-10-22
The horizontal axis follows observation order; calendar intervals may differ. High and low refer to observed values within this window, not intraday or all-time extremes. Ties show the first observation date.
Time-series chart
US High Yield OAS
2023-05-30–2026-10-23
Long-history series are stored as real provider observations. Index, FX, VIX, and ratio charts use historical backfill where providers expose it; Korean investor flow and margin-credit feeds expand as stable historical endpoints become available.
Recent observations and calculated changes
The ten latest chart observations. Change subtracts the previous observation; intervals vary with holidays, release schedules and missing data. A difference in rates or ratios is not an investment return.
| Observed | Value | Previous date | Difference (current − previous) |
|---|---|---|---|
| 2026-10-23 | 3.38 % | 2026-10-22 | -0.02 %p |
| 2026-10-22 | 3.40 % | 2026-10-21 | 0.13 %p |
| 2026-10-21 | 3.27 % | 2026-10-20 | -0.06 %p |
| 2026-10-20 | 3.33 % | 2026-10-16 | 0.02 %p |
| 2026-10-16 | 3.31 % | 2026-10-15 | 0.08 %p |
| 2026-10-15 | 3.23 % | 2026-10-14 | -0.02 %p |
| 2026-10-14 | 3.25 % | 2026-10-13 | 0.09 %p |
| 2026-10-13 | 3.16 % | 2026-10-12 | 0.05 %p |
| 2026-10-12 | 3.11 % | 2026-10-08 | -0.04 %p |
| 2026-10-08 | 3.15 % | 2026-10-07 | 0.06 %p |
Source: FRED
Interpretation guide
US High Yield OAS: reading the market's risk thermometer
US High Yield OAS is the option-adjusted spread of speculative-grade (BB and below) corporate bonds over Treasuries, calculated by ICE BofA and published daily via FRED. It is the extra yield the market demands to lend to lower-quality companies, which makes it the first market-based gauge to widen when risk appetite cools.
The language of spread levels
High-yield spreads have historically carried fairly distinct zone meanings: the 3% area (roughly 300bp) reflects a comfortable credit market, 5% and above signals caution, and spikes toward 8-10% have marked genuine crisis episodes.
- Stable readings in the 3% range imply low default concern and a supportive backdrop for risk assets broadly.
- A push above 4% with continued widening means refinancing strain and growth worries are entering the price.
- A rapid move above 5% marks a credit-stress regime and calls for auditing the defensiveness of equity positions.
Speed matters more than level
Reaching 5% over six months and reaching it in a few weeks are entirely different events. Sharp widening often travels with liquidity strain and forced selling, so always read the pace of change alongside the absolute level.
- Widening of 100bp or more within a short window counts as a stress event regardless of the starting level.
- A long stretch of tight spreads is not itself a sell signal; wait for evidence of a directional turn.
- Equities holding firm while high-yield spreads grind wider is the classic case of credit warning first.
Avoiding misreads, plus the Korea link
Index composition shifts over time: the 2015-2016 spike was heavily an energy-sector story rather than economy-wide stress. Make it a habit to decompose whether widening is sector-driven or reflects broad risk aversion.
- Read it alongside US Investment Grade OAS and the Credit Risk: HY OAS / IG OAS ratio on TapeFlow to gauge how deep the stress runs.
- High-yield blowouts often coincide with won weakness and foreign selling, so review KOSPI downside exposure in those windows.
- Because the index's rating mix evolves, an identical spread level may not represent identical risk across eras.