UBS Sees Corporate Default Rate Rising to Near 9% by Year End

The video discusses the current state and projections of bankruptcy cycles and default rates, highlighting a rise in US speculative grade corporate default rates. It covers market expectations, insights from a CFO survey on lending standards, and the impact of government fiscal programs. Despite liquidity support, solvency concerns remain, especially for small and middle-market firms, where stress is evident. The video emphasizes monitoring these sectors for potential increases in default rates.

What is the projected rise in US speculative grade corporate default rates by year-end?

How do the current default rates compare to market expectations according to the speaker?

What support measures are mentioned that aim to provide liquidity to companies?

What concerns remain despite the support from government loan programs?

Which sectors are highlighted as being under stress and potentially facing higher default rates?