Intermarket Spread Swap

What Does Intermarket Spread Swap Mean?
A swap transaction meant to capitalize on a yield discrepancy between bond market sectors.

Investopedia explains Intermarket Spread Swap
Opportunities for intermarket spread swaps exist when there are credit quality or feature differences between bonds.

For example, if there is a wide credit spread between high credit quality corporate and treasury bonds, and the spread is expected to narrow, investors would swap government securities for corporate securities.