<\/p>\n
The decline is the first drop in a year, S&P says.<\/p>\n
Amid high interest rates, U.S. corporate liquidity began declining in the first quarter of 2024, S&P Global Market Intelligence said.<\/p>\n
Reported cash and other liquid assets dropped to 21.5% of total liabilities for the median investment grade company rated by S&P Global Ratings, down from 22.6% in the fourth quarter of 2023.<\/p>\n
This decline in corporate liquidity, which reflects the ability to pay short-term debt, is the first drop in a year, S&P said.<\/p>\n
\u201cDebt has grown more expensive for companies as the U.S. Federal Reserve holds benchmark interest rates at their highest level in decades,\u201d it noted.<\/p>\n
Speculative-grade companies also reported a deterioration in liquidity, S&P said.<\/p>\n
For the median speculative-grade company, the cash ratio dropped to 30.21% in the first quarter, down from 33.77% at the end of 2023.<\/p>\n
\u201cCommunication services and materials companies reported the sharpest declines in median cash ratios for speculative-grade companies, falling by 12.64 and 6.89 percentage points, respectively,\u201d it said.<\/p>\n
S&P Global Market Intelligence<\/p>\n
<\/p>","protected":false},"excerpt":{"rendered":"
The decline is the first drop in a year, S&P says. Amid high interest rates, U.S. corporate liquidity began declining in the first quarter of 2024, S&P Global Market Intelligence said. Reported cash and other liquid assets dropped to 21.5% of total liabilities for the median investment grade company rated by S&P Global Ratings, down […]<\/p>\n","protected":false},"author":1,"featured_media":1785,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1784","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bez-rubriki"],"featured_image_src":{"landsacpe":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/06\/New-York-1.jpeg",640,427,false],"list":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/06\/New-York-1-463x348.jpeg",463,348,true],"medium":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/06\/New-York-1-300x200.jpeg",300,200,true],"full":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/06\/New-York-1.jpeg",640,427,false]},"_links":{"self":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/1784","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/comments?post=1784"}],"version-history":[{"count":1,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/1784\/revisions"}],"predecessor-version":[{"id":1786,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/1784\/revisions\/1786"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/media\/1785"}],"wp:attachment":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/media?parent=1784"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/categories?post=1784"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/tags?post=1784"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}