The speculative-grade corporate default rate in the U.S. fell to 1.8% in Q4 vs. 2.0% in the...

|By:, SA News Editor

The speculative-grade corporate default rate in the U.S. fell to 1.8% in Q4 vs. 2.0% in the previous quarter and 3.4% a year ago, Moody's reports, while the default rate in Europe almost doubled to 2.7% from 1.4% Q/Q; a year ago, it was 2.3%. But global defaults likely have hit a cyclical bottom, and "the days of very low defaults are probably coming to an end."