Demand is rising for riskier junior bonds backed by commercial mortgages as the U.S. economy improves, according to Bank of America Corp. analysts.

The "quick and dramatic" rally in the most-senior bonds backed by shopping mall, hotel and skyscraper loans has extended to securities that were originally rated triple-A, though with less of a cushion insulating investors from defaults, B of A analysts led by Roger Lehman said in an April 9 report.

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