There is a bull market for Australian corporate debt securities, according to a Bloomberg report, which cited a fund manager saying there was a "scarcity bid" pushing up the price of local non-financial credit.Australian dollar-denominated corporate bond prices have risen 4.6 per cent this year, the report said.Fund managers Pimco and Western Asset managers are buying Australian non-financial credit, preferring it to US and European credit.Bloomberg quoted the head of credit at Tyndall Investment Management, who said: "Australian corporates are viewed as stronger due to the healthier state of the domestic economy relative to the US or Europe."Demand for Australian credit has allowed issuers to narrow their spreads. Telstra sold $150 million of 10-year bonds last June, at 200 basis points over the swap rate. When it added to that line last month, it paid a margin of 160 basis points.Western Asset Management, which is part of Baltimore-based Legg Mason, has added Telstra, Stockland and Australia Pacific Airports bonds to its portfolio this year.