Surge in Bankruptcies Amid Rising Debt and Volatility Across US Sectors in 2020

The coronavirus pandemic has not just created a humanitarian crisis but is also the harbinger of an economic crisis. At its peak, it forced thriving sectors into losses, compelling businesses to shut shop. Even a developed country like the US struggled as large companies collapsed. This triggered a frenzy in bond markets with companies taking additional debt to stay afloat. While the economic scenario can be likened to the global financial crisis of 2009, recovery has been rather quick. However, it is too early to predict which direction the US economy will go in the next few years.