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The Wall Street Journal and World News Network reported that a large number of US companies filed for bankruptcy this year, hitting a record high since 2020, and economists believe that this could have a devastating impact on the US economy.
According to data released by financial analysis firm Standard & Poor's Global, the number of large corporate bankruptcies in the United States has hit a record high since 2020, with 459 companies filing for bankruptcy this year, including 16 large companies with assets of more than $1 billion.
Economists have warned that a rise in bankruptcies of giant companies could have devastating consequences for the economy. Rising bankruptcies, along with a weak stock market and a surge in credit-card delinquencies, will add to recession fears. U.S. companies have been operating on ultra-low interest rates for the past few years, but now they are under intense pressure as loans come due and interest rates continue to rise.
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