The US economy heading for a potentially “turbulent landing” may spell trouble for junk bonds, according to Colleen Cunniffe, head of global taxable credit research at Vanguard. “We’re actually relatively cautious on high yield at the moment from a broad perspective,” Cunniffe tells Bloomberg News’ James Crombie and Bloomberg Intelligence’s Himanshu Bakshi in the latest Credit Edge podcast. The world’s second-largest asset manager prefers debt rated BBB, bonds from utilities and banks, as well as asset-backed securities in the auto sector. Cunniffe and Bakshi also discuss commercial mortgage-backed securities, the impact of consumer stress on bank asset quality and emerging markets.