Jim Chanos Nails the Link Between Debt and Energy

``The question now hovering over the energy sector is whether the flow of capital investment that has propped up shale companies for so long will continue. Signs indicate it might not. Spreads on the bonds issued by energy companies are currently 480 basis points wider than average yields on the debt of junk-rated companies, meaning investors are (finally) demanding extra returns to compensate for the added risk of E&P.''