At the end of April, the amount of bankruptcies increased by 1 percentage point compared to the end of last year, reaching 2.8%. However, the rating agency’s forecast for the whole year is extremely gloomy.
“Fitch estimates that leverage in the United States, which will go bankrupt this year, is $ 80 billion, exceeding it since 2009, when it reached $ 78 billion,” Zero Hedge said.
The share of people affected by the long-term crisis is growing
Raina Mitkova, manager of EOS Group, in front of money.bg
Although the shale sector is forecast to be among the leaders in this regard, physical stores have so far gone bankrupt the most in recent months. This is not surprising, since they were regulatoryly forced to close their doors, and now their survivors will be able to start operations, but subject to certain requirements, some of which will include a reduced number of customers in them at any time.
Among the big retailers that have already declared bankruptcy under Chapter 11 are Neiman Marcus Group, J.Crew and J.C. Penney. Others say they do not currently have access to external funding to help them survive the government-aided crisis.
Morgan Stanley: Corporate debt has grown by 63% in four months
The bank’s data show that it is growing just before the recession
“What will come will be even worse,” said Larry Fink, chief executive of the world’s largest investment fund, Blackrock, which manages $ 7.5 trillion in assets. that bankers say “an avalanche of bankruptcies is expected to flood the US economy,” according to Zero Hedge.