Deeply Distressed U.S. Loans Surge to Pandemic-Era High, JPMorgan Says
The volume of deeply distressed U.S. leveraged loans has climbed to its highest level since the pandemic, according to JPMorgan, underscoring renewed strain in a corner of credit markets that is highly sensitive to economic slowing and higher borrowing costs. The pressure is being led by software and other technology-linked borrowers, where refinancing risk and weaker cash flow are colliding with a still-restrictive rate environment.
