Home>Video>When the Bond Market Was Broken  When the Bond Market
Was Broken  Sun, 22 Sep 2013    Video Transcript  Jeremy Glaser:
For Morningstar, I'm Jeremy Glaser. How did the corporate credit
market react to Lehman Brothers' bankruptcy, and has it
recovered since? I'm here with Dave Sekera. He's a corporate
bond strategist at Morningstar. We're going to take a look at
these questions.  Dave, thanks for joining me.  Dave Sekera:
Good to be here.  Glaser: Let's take a look at what happened in
the bond market immediately during and then the aftermath of the
Lehman bankruptcy. How is it different from just kind of a run-
of-the-mill recession and what you would expect to see in any
kind of economic slowdown?  Sekera: It's definitely its own
crisis that was caused by the Lehman bankruptcy. And if you look
at the corporate bond market, corporate credit spreads did start
widening out as we were looking at going into recession at that
point in time. Housing was definitely starting to soften.  But
unfortunately, unl