“$1 trln in new leveraged credit last five years faces its day of reckoning,” Bank of America strategist Yuri Seliger said in a note on Friday. Most of that debt has been created by below-investment grade companies through high yield loans or bonds. Around $400 billion assets are considered to be in “pre-distress,” while $150 […]
“When that comes this fall, I believe it’s going to be a very difficult holiday season, certainly challenging for most retailers,” former Toys “R” Us CEO Gerald Storch said. “Every report we hear from retailers out there is that consumers are stressed, they’re reluctant to buy goods. “When you adjust for inflation, sales of physical
A Fitch Ratings analyst on Tuesday warned the agency may be forced to cut the credit ratings of more than a dozen banks, including some major Wall Street lenders. Another one-notch downgrade of the industry’s score, to A+ from AA-, would force Fitch to reassess ratings on each of the more than 70 U.S. banks it
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Fitch Ratings’ decision to strip the U.S. of its triple-A credit rating last week was widely dismissed as meaningless This time, though, bond yields rose. That suggests Fitch’s action deserves our attention, not because it tells us anything new but because it joins the stack of evidence of how profoundly different, and risky, the nation’s fiscal situation
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