Credit Calls

A daily compilation of J.P. Morgan credit research covering California wildfire liability reforms, advertising landscape disruption by AI, and record-setting US High Grade corporate bond issuance.

Key Takeaways

• 1.California wildfire liability reform is gaining momentum with hearings on SB 254, focusing on capping damages and potentially recapitalizing the wildfire fund.
• 2.The advertising sector is bifurcating; digital giants like Alphabet and Meta are capturing disproportionate spend to fund AI capex, while legacy intermediaries face disintermediation.
• 3.US High Grade bond issuance is at a record YTD pace of $995bn, representing 54% of the original FY26 forecast, with May contributing $163bn.

Table of Contents

• Electric Utilities & Power: Thoughts Ahead of the 2026 Wildfire Season
• Mad Men Walking: The New Advertising Landscape
• CD Player: Market Themes and Relative Value Trade Ideas in the Credit Derivatives Market
• Curveball: HG Credit Curve Opportunities
• Pet Industry Update: Cats and Dogs from 1Q26 Earnings
• US High Grade Corporate Bond Issuance Review: May 2026