Rising Tide of Corporate Debt Defaults: An 80% Surge in 2023 Signals Troubling Trends Ahead In 2023, corporate debt defaults experienced a substantial 80% increase, with 153 companies failing to meet their debt obligations, compared to 85 the previous year. This rate was the highest in seven years, excluding the peak during the Covid-19 crisis. The defaults were predominantly among low-rated companies with negative cash flows, heavy debt burdens, and weak liquidity, especially in the consumer-facing sectors, such as media and entertainment. According to S&P Global Ratings, the situation may remain challenging in 2024. Corporate America, currently shouldering a $13.7 trillion debt load, may face further credit deterioration, especially among lower-rated issuers. Despite potential rate cuts, financing costs are expected to stay high. « Previous Article Next Article » Share This Article Choose Your Platform: Facebook Twitter Google Plus Linkedin Related Posts WTI Nears $83 as Traders Respond to U.S. Economic Slowdown READ MORE ZeroHedge: Futures Flat As "Crazy Week" Begins READ MORE U.S. Economy Triumphs: U.S. Growth During a Global Slowdown READ MORE US Budget Gap Widens 16% in First Four Months of Fiscal Year READ MORE Nvidia’s Market Cap Worth As Much as the Entire Chinese Stock Market READ MORE Add a Comment Cancel replyYour email address will not be published. Required fields are marked *Name * Email * Save my name, email, and website in this browser for the next time I comment. Comment