Fear of failure of companies that hit US credit markets

The fear of companies in the United States escalated for the second day in a row on Tuesday after US President Donald Trump threatened to increase customs duties on Canada. In the financial derivative markets, the cost of institutional credit protection at the failure to pay its highest levels has risen to almost seven months, as the difference in the “CDX market” index -CDX -has expanded the credit derivatives index to measure the risk of credit in the market -for the first degree investment in the North America. In the high -risk -sector sector, the high -time index in North America fell by 0.45 points on Tuesday to reach its lowest level during the daily trading since August, reflecting the high credit risk. Anxiety in retail and aviation sectors, as credit derivatives show the increasing concern of investors over retail sectors and airlines, as the cost of the parallels of paying five years on the effects of “Colls” increased by 150 basis points, which is the largest rise in more than three years. The disagreement of the failure to pay the effects of airlines, such as the American Airlines Group and the “Delta” Air Airlines, has also increased after issuing profit reports indicating the decline in consumer spending. “The uncertainty about customs duties, as well as economic growth concerns, caused investors’ tensions,” said Blair Showo, head of sales and constant revenue trading at the US Bank. The new issuance market and in the new issuance market there were about 20 high credit rating companies who wanted to sell bonds on Tuesday, but about half of them decided to postpone the offers, which are the second consecutive day on which many exporters refuse to avoid the market fluctuations. Referring to the extent of the fluctuation of the markets, credit derivatives began to reduce some of their losses on Tuesday afternoon, after Ontario stopped setting extra fees by 25% on the electricity exported to the United States, and Trump withdrew a commercial decision he announced earlier in the day. The ceasefire in Ukraine also contributed to increasing the morale of the market, which led the S&B500 to the positive area temporarily. Although the markets are negatively affected by the changing news headlines, businesses still have a high cash liquidity, and the investment demand for new bonds is still strong, while the fund managers are still looking for returns, according to Philip Paf, the director of investment in the fixed income of asset management in “Pecit”. “In general, credit behavior is still largely disciplined. I still have a belief that the global economy will not collapse,” he added.