Fed high-yield buying might inflate the price somewhat

The prices of high-yield bond ETFs went through the roof after the Fed announced that it would be buying them, but they came back down as investors realized that the central bank hasn't actually purchased any yet. Word on the Street is that they're about to start, though, so I went ahead and picked up a couple May 15 calls, and we'll see what happens.

Here's the prospectus on the program, which says the Fed will buy junk-grade bonds with 7-to-1 leverage: newyorkfed.org/markets/primary-and-secondary-market-faq/corporate-credit-facility-faq

I kind of hate myself for buying this garbage with all the bankruptcies and default risk out there, but the market seems to be mostly an index of central bank stimulus right now, so... when in Rome. (I'm keeping my bet small and would not recommend anyone throw a lot of money at this.)