Free Trial

Moody's said its "global..............>

US CORPORATES
US CORPORATES: Moody's said its "global speculative-grade default rate falls
below 3%," the "lowest since 2015", as the "global speculative-grade defaults
fell to 2.9% in August, down from 3.1% in July." "We expect the rate to continue
its downward trajectory," said Sharon Ou, Moody's VP and Senior Credit Officer.
- Moody's anticipates the "global default rate to reach 2.3% in August 2018,"
down from a 4.8% peak in August 2016, :when commodity sectors drove the default
rate to a 7-year high." 
- "This benign forecast is a function of a relatively low level of high yld sprd
and stability in commodity prices," Ou said.
- The weakest industries include: media advertising, printing and publishing,
durable consumer goods and retail, it said. "Only 2 speculative-grade companies
defaulted last month: a US retailer that completed a distressed exchange, and a
Singapore-based semiconductor assembly and test services provider that failed to
make coupon payments at the end of a grade period," it said. 
- The US speculative-grade default rate fell to 3.4% in August, down from 3.6%
in prior month. The rate in Europe fell to 2.6% from 2.8%.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
}); window.REBELMOUSE_ACTIVE_TASKS_QUEUE.push(function(){ window.dataLayer.push({ 'event' : 'logedout', 'loggedOut' : 'loggedOut' }); });