Both Financials and Corporates credit quality show a bias towards net credit deterioration this month, with negative ratios of 1.2 and 1.1 deteriorations to each improvement respectively.
Amongst the industries, the top performer is once again Oil & Gas, with a positive ratio of 1.3 improvements to each deterioration. Consumer Services is the only other industry to show net credit improvement this month. Basic Materials and Technology stand out with negative ratios of 1.6 deteriorations to each improvement.
Oil & Gas strength is also reflected at the sector level, with UK and Canada firms showing positive ratios. Travel & Leisure companies continue to perform well, with 1.8 improvements to every deterioration. Construction & Materials stand out with a bias towards credit deterioration, with an improving to deteriorating ratio of 1:1.5.
In the update, you will find:
Credit Benchmark will continue to provide regular reports on these migration rates. If you have any questions about the contents of this update, please get in touch.