Deutsche Bank: Long term high interest rates may hit US corporate borrowers

On June 9th, according to BlockBeats, a strategist at Deutsche Bank wrote that as the impact of the Fed's delayed interest rate cuts continues to expand in the future, higher borrowing costs will have an impact on American businesses. Deutsche Bank wrote: Currently, the expectation of a soft landing has led to most defaults occurring in the form of non-performing asset exchanges with higher recovery rates. But against the backdrop of inflation above target, severe policy uncertainty, and rising sovereign term premiums, the possibility of a soft landing is decreasing. '' Deutsche Bank believes that in speculative grade credit, the default rate may reach as high as 5.5% around the middle of next year, which means that the issuer weighted speculative grade default rate will reach its highest level since 2012. (Golden Ten)