Ratings agencies see shadows over mid-market credit in 2024

S&P Global Ratings and Fitch Ratings agree issuers are showing the strain under high interest rates, and creditor funds will be tested. 

Higher for longer interest rates and volatile markets are pushing up default rates among issuers. That’s the conclusion S&P Global Ratings and Fitch Ratings each reported at the start of May.

At the same time, the US Federal Reserve’s Open Market Committee issued a statement saying that in recent months “there has been a lack of further progress toward the Committee’s 2 percent inflation objective”.