Corporate bond markets are flashing warning signs:
Low-quality US corporate bond credit spreads have spiked to their widest since 2001.
The ratio of CCC-rated spread to B-rated spread has DOUBLED in ~3 years.
This difference is now even higher than the run up to the 2000 Dot-Com bubble.
Meanwhile, 346 large corporations have declared bankruptcy through June 2024, the most since 2010.
Bankruptcies are set to accelerate.
