Cliffs and Moon-Shots
This at the start of a deep and long recession...... After the events of the last 3 month it is valid to wonder how much of this debt will get bailed out ( GM....) or will end up without much disclosure on the Fed´s balance sheet......I wonder how many companies are now on the brink of bankruptcy just because they decided to make big debt financed stock buybacks or megalomaniac takeovers & buyouts......
WSJ Junk-Bond Market Has Closed the Door
Yields Upward of 20% Make It Too Pricey for Borrowers; Zero Deals Made It in November

About 50% of U.S. companies have below-investment-grade credit ratings, making the $750 billion junk-bond market a vital source of financing for car makers, airlines, retailers, utilities, restaurant chains and media companies
>The next chart is making things even scarier........ Within the "junk" label the remaining "quality" has deterioting fast and furious especially over the past few years..........






good charts; illuminating
Posted by: blended purple | December 02, 2008 at 01:44 AM
Look at CANADA it has completely fallen apart today, a coup possible. Economic Depression at its best!
http://www.thecomingdepression.blogspot.com
Posted by: The Coming Depression | December 02, 2008 at 02:11 PM