“Investors… seem prepared to designate Apple Inc. bonds as the new Treasuries,” Cecile Gutscher reports for Bloomberg.
Apple “can’t print its own currency like the U.S. government does, but it’s certainly approaching something akin to favored-nation status in the debt markets,” Gutscher reports. “Apple’s sale of $5 billion of bonds Tuesday was even designed to mimic the U.S. government curve, with benchmarks for repeat issuance of debt due in two, five, 10 and 30 years.”
Gutscher reports, “Moreover, the narrow risk premiums on Apple’s bonds suggest duration that’s more like government than corporate peers…”
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MacDailyNews Take: Apple’s certainly more solvent.