Liberty Street Economics: What’s New with Corporate Leverage?

F E D E R A L   R E S E R V E   B A N K   o f   N E W  Y O R K LIBERTY STREET ECONOMICS   What's New with Corporate Leverage?   Nina Boyarchenko and Or Shachar   The FOMC started increasing rates on March 16, 2022, and after its January 31 meeting, the lower bound of the target range of the federal funds rate had reached 4.50 percent, a level last registered in November 2007. Such a rapid rate increase could result in higher funding costs for U.S. corporations. This post examines how corporate leverage and bond market debt have evolved over the course of the current tightening cycle and compares the current experience with the previous three tightening cycles.    READ MORE

 

Stay Connected:  @NewYorkFed | @NYFedResearch  | Facebook | LinkedIn | YouTube Download our  Economic Research Tracker to your iPhone® or iPad® Unsubscribe | Got this from a friend? Subscribe.

---

This email was sent to franchmaverickk.secretwords123@blogger.com using GovDelivery Communications Cloud on behalf of the Federal Reserve Bank of New York