Drexel Unveils Junk Bond Index: Drexel Burnham...

Drexel Unveils Junk Bond Index: Drexel Burnham Lambert Inc. unveiled an index to track the performance of junk bonds and said improvement in this troubled market may be near. “About the time that everyone declares the high-yield market is dead it will rebound,” said John F. Sorte, a Drexel executive vice president. “This is a cyclical business.” Drexel said its new high-yield index will track the performance of about 700 junk bond issues, or about two-thirds of the $200 billion in outstanding junk bonds. It replaces a narrower junk bond index that monitored 110 issues.