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People watch from above as traders work on the floor of the New York Stock Exchange on the morning of Jan. 2, 2013.
People watch from above as traders work on the floor of the New York Stock Exchange on the morning of Jan. 2, 2013.
(Michael Appleton/NYT)

Citi finds fatal flaw in corporate bond funds and ETFs

Predicting market disaster has evolved into a lucrative industry. With most of its purveyors of doom – Marc Faber and Zero Hedge for instance – the sheer consistency of their respectively apocalyptic outlooks makes them easy to ignore. But when Citigroup Inc.’s main credit product strategist makes a coherent and terrifying argument more or less guaranteeing a global corporate bond market meltdown, however, it’s time to start worrying for real.