Asia Junk Bonds Build on Best Week Since 2023 on Tariff Optimism

A rally in Asia’s junk bond market is building steam as investors return to risky assets on hopes that trade tensions between China and the US will ease.

Investor demand pushed up dollar high-yield bonds in Asia as much as 0.25 cents on Wednesday, according to a trader. That adds to a recent rebound: Last week, the securities returned 1.7%, the most since June 2023, according to a Bloomberg index.