I am selling a house soon hopefully, if the sale does not fall through. After which I intend to invest in a selection of Fixed Coupon Bonds of the corporate variety. Consequently, I have been reading about the best time to buy bonds to obtain the best yield. Initially I thought that because bond prices rise when stock prices fall, the time to obtain the best bond yield would be when stocks are high. However, later I found the following statement, which suggests that the notion in the preceding line only applies to treasury bonds, but does not apply to corporate bonds.
"When corporate bond default risk increases, many investors move out of corporate bonds and into the safety of government bonds. That means corporate bond prices fall, so corporate bond yields rise. ... As a result, corporate bonds temporarily offered higher yields."
Hence, my understanding is that a good time to buy corporate Fixed Coupon Bonds could be very soon if the stock market takes another big dive South due to Covid-19 second wave fear.
As I am new to bonds, your thoughts on the above approach will be appreciated.
