Suckers’ rally

Is normal service resuming in the credit market? Credit spreads on investment-grade corporate bonds ballooned after General Motors and Ford were downgraded to junk status. And that capped off a dismal two-month run for the asset class. However, in the past 10 trading days, the investment-grade credit market has pared all the losses it had sustained from the day of the junking. This, moreover, has undone nearly half the damage sustained in this year’s bear market. The optimistic view is that cal...