US Shale Oil Bankruptcies will start falling like dominoes very shortly due to rise in borrowing, they make up most of junk bonds... It is pretty much complete disaster at this point, the industry needs 60-70 a barrel to be OK, 50 or less it is a slaughterhouse due to servicing debt. A lot will fall, the ones who were ran well will survive the recession and come back stronger due to much lower head count going forward, all that mumbo jumbo smoke screen by the Fed, Dimon and others coming out saying everything is fine, is to keep the rolling of the sheet going as far as they can, they want a soft landing now , instead of powell's autopilot hard landing. Credit Junk Bond market will start to freeze for good as of next month, once defaults starts, they already did in December, once quarterly financial's from companies start coming in, there is too much debt and credit is tightening. Modern Economy is very simple, credit expands times are beautiful, credit get stopped cause risk of systemic financial shock has gotten too high, so they raise rates fast and pull the plug to let the pressure out, rinse repeat... But fed will start providing Basic Universal Income along with QE5 for the next recession, I would say UBI will be in affect by 2021-2022
Pension Funds will be extremely weird to see, Corporate Energy Credit Market players are way behind the curve compared to Equities Energy Players, or are stuck in moderate losses that they cannot cover close to anything promised. The mainstream media and Fed is trying to cozy up the inevitable, it seems some Major Banks got caught with there hand in the cookie Jar, they ow a bunch of shit Junk Bonds that will be worth maybe 25 cents on the dollar by mid year, like BaC, they have been bleeding billions in bond losses and it could get ugly, there are desperately trying to unload asap
