The credit crunch is driving more bankruptcies and could spark a domino effect of defaults at larger firms, investment manager says
Tighter credit is driving a surge in bankruptcies and could spark a domino effect of debt defaults, according to Richard Bernstein Advisors.on Tuesday, noting the cycle of tighter monetary policy, reduced credit flows, and defaults."Small, private, and flawed companies lead defaults of public, and seemingly financially sound companies."
Meanwhile, repeat bankruptcies, which are firms that have defaulted on their dues a second time or more, are close to an all-time high, RBA said, growing at their fastest pace in the last few months since 2009. Small- to medium-sized businesses are particularly reliant on regional bank lending, as regional lenders finance around 40% of all debt at those companies, UBS said.
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
This Image Received Thousands Of Racist Comments. Here's Why I Made It.'I knew the artwork would get attention, but I never anticipated it would spark a raging firestorm among right-wing trolls and racists.'
Consulte Mais informação »
Dylan Covey provides a spark for Phillies, but lack of offense snuffs it in loss to DiamondbacksDaily News | Dylan Covey provides a spark for Phillies, but lack of offense snuffs it in loss to Diamondbacks
Consulte Mais informação »
Yellen warns Congress again that default could be just days away, but others forecast a little more time | CNN PoliticsTreasury Secretary Janet Yellen reinforced her warning to Congress that it has only a little time left to address the debt ceiling before the nation defaults on its obligations.
Consulte Mais informação »
'It’s not their money’: Older Americans worried debt default means no Social SecurityThe consequences of a debt default could be dire, including for older Americans who need the money to pay for basic needs such as food, housing or health care costs.
Consulte Mais informação »
US debt default could send mortgage rates soaring above 8%The U.S. housing market could tumble into a deep freeze if Congress fails to raise the debt ceiling by June 1 and defaults on its financial obligations.
Consulte Mais informação »
Brazil Declares Animal Health Emergency Over Avian Flu CasesA six-month animal health emergency was declared in Brazil on Monday after the country’s first detection of avian flu in wild birds.
Consulte Mais informação »