Thirty US defaults send rate over 1% as another one falls
The US high yield default rate has risen to an estimated 1.2% for this year so far, according to Fitch. The par value of high yield bonds that have defaulted this year is $12.3bn — though that does not include the $82.5m bond issued by freight haulier Trailer Bridge, which filed for bankruptcy on Wednesday.
Fitchs 1.2% estimate is fractionally higher than the rate measured a year ago. Between January and November 2010, 1.1% of speculative grade bonds defaulted, totalling $10.3bn.
Standard & Poors counts 30 defaults in the US in 2011 including Trailer Bridge, compared to 55 at the same time last year,
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