NEW YORK, March 12 (Reuters) - High yield bonds suffered more pain on Thursday, with a high yield bond exchange traded fund falling to the lowest level since February 2016 and credit default swap indices tracking U.S. corporate bonds widening sharply.
The spread of the Spread of high yield CDX index rose to 706 basis points, the widest since November 2011.
The SPDR Bloomberg Barclays high yield bond ETF fell to the lowest since February 2016.
The iShares iBoxx high yield bond ETF fell to its lowest since February 2016.
Investor worries about corporate credit are heating up as the coronavirus spreads, with the prices of bond funds taking a hit, companies starting to draw on credit lines and some market watchers warning of the possibility that investors pull out of products.
Reporting by Kate Duguid, writing by Megan Davies Editing by Chizu Nomiyama