The Junk Bond Reckoning Is Coming in 2023

 While high-yield bond maturities still look manageable for the next 12 months, the wall of expiring debt looks much more daunting in 2024. 

Companies will have to start refinancing well in advance of that, and they’re likely to find that the cost has risen too high for otherwise flimsy business models to withstand. 

At today’s rates, all-in yields on high-yield debt sit around 8.67% at the time of writing, far above the 2017-2021 average, according to Bloomberg data.

Credit spreads for junk bonds typically head toward 800 basis points over Treasury bonds in a typical recession, and at the current 452, they’re nowhere near discounting a genuine downturn. 

Jonathan Levin Bloomberg 27 december 2022

https://www.bloomberg.com/opinion/articles/2022-12-27/the-junk-bond-reckoning-is-coming-in-2023

US junk bond sell-off resumes

FT 3 August 2022

https://englundmacro.blogspot.com/2022/09/us-junk-bond-sell-off-resumes.html