2024-03-23 02:05:00 ET
Summary
- A much-flagged risk for this year is that, due to the Fed’s 2022-23 hiking cycle, the wall of maturing debt will face significantly higher refinancing costs, potentially triggering a spike in defaults.
- Except for the lowest-quality segments of the credit spectrum, the broader credit space should be able to climb the wall relatively unscathed.
- A record number of bonds issued during the pandemic at very low interest rates are set to mature over the next six years.
By Seema Shah, Chief Global Strategist
A much-flagged risk for this year is that, due to the Fed’s 2022-23 hiking cycle, the wall of maturing debt will face significantly higher refinancing costs, potentially triggering a spike in defaults. ...
Read the full article on Seeking Alpha
For further details see:
Credit Maturity Wall: Not As Difficult A Climb As It May Seem