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The big question for BP and Shell, of course, is whether they can muddle through without cutting their dividends, which currently offer yields of close to 6%.
Because of the flight to safety, Treasury bills now offer yields of well under 1percentt, while five-year Treasuries pay about 2percentt.
Despite the 2009 rally, they offer yields that are as much above those of Treasuries as they were in the worst of the preceding recession, in 2001.
But in a slowing economy, investors are reluctant to buy such below-investment-grade debt, forcing borrowers to offer yields so high that many takeovers do not make sense.
After all, these securities, which make up the bulk of bonds in emerging markets, can offer yields of 10 percent or more while providing a hedge against the dollar's diminishing fortunes.
Twenty-three of the top 50 areas offer yields above 5%, significantly more than is available from more traditional savings options," said Peter Dockar, head of mortgages at HSBC. "However, it is clear there is a fine line between a property in a desirable area, the rents that can be achieved and the returns that can be yielded".
Similar(46)
The €3 billion ($4 billion) offer yielded 5.67%, well below the yield of 15% at the height of Portugal's crisisStockmarkets had a buoyant week.
"As an asset that does not offer yield, gold benefits from a low interest-rate environment," said Ms. Chew, who is based in Singapore.
Largely because of the troubles affecting the Chrysler division, DaimlerChrysler is being forced to offer yield premiums that are more appropriate for debt-ridden European telecommunications companies despite having the same credit rating as G.M. and the Ford Motor Company.
And some of them may very well turn out to offer yield or nutritional benefits, like soybeans with higher levels of heart-healthy omega-3 fatty acids.
For the increased risk you are taking, you are offered yields several points higher than blue-chip corporate bonds.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com