Insurers wary of BBB credit with downturn seen looming

Some insurance firms were already avoiding buying corporate bonds rated just above investment-grade – and last week’s inversion of the US yield curve will likely further strengthen their resolve about that strategy.    On Friday, the yield on the 10-year US Treasury bill fell below that of the 3-month note for the first time since 2007, in a development seen as an early indicator of a recession. Daniel Blamont, head of investment strategy at London-based life insurer Phoenix Lif…