MOODY'S LAUNCHES U.S. CORPORATE BOND INDEX
Moody's Investors Service Inc said it
launched today a new index of investment grade U.S. corporate
bonds based on 100 issues.
    The rating agency noted that Commodity Exchange Inc, Comex,
filed with the Commodity Futures Trading Commission in October
1986 a proposal to list a futures contract based on the index.
Trading is expected to start later this year.
    Moody's said it calculated end-of-month index values back
to December 1979. Corporate bond prices closed on Friday at
274.01, up from the index's initial value of 100.00 on December
31, 1979, the agency said.
    The Moody's index includes a sample of liquid bonds Moody's
chose to mirror the credit quality, maturity, duration and
coupon distribution of bonds in the industrial, utility and
financial sectors of the U.S. secondary market.
    However, it excludes convertible subordinated debenture
issues and tax-exempt bonds, as well as bonds with maturities
under five years or with variable-rate coupons.
    The rating agency said the index has been designed to
reflect changes in corporate bond prices as they occur
throughout the trading day.
 Reuter
