41. --Deny interest deductions for certain corporate debt. 42. Earlier this year investors were wary of buying corporate debt, not knowing how much the Asian turmoil might affect earnings and credit quality. 43. Elsewhere, a deluge of new corporate debt may make it difficult for government securities to make headway. 44. Even so, Fortress benefitted from a recent slowdown in corporate debt sales caused by an increase in interest rates. 45. Even so, bonds erased most of their losses in late trading amid expectations investors will line up to buy the new corporate debt. 46. Elsewhere, investors are opting to buy corporate debt to give them a bigger yield cushion if inflation accelerates. 47. Even with the heavy dose of new bond issues, demand among investors for corporate debt has remained strong. 48. Falling interest rates are good for companies with large debt burdens, such as utilities and toll highway companies, because they reduce interest costs on corporate debt. 49. Expectation that higher interest rates could hurt the earnings of companies with lower credit ratings is also causing concern in the corporate debt market. 50. Even so, bonds erased most of their losses in late trading amid expectations investors will line up buy the new corporate debt. |