_Economy and Finance

U.S. High Yield Default Loss Rate Below 1% in 2012 For the third consecutive year, the U.S. high yield default rate remained well below average, ending 2012 at 1.9% and up just modestly from 1.5% in 2011. The average recovery rate on the year’s defaults was 50.2% and the median recovery, 38.9%. Both measures slipped from 2011’s more robust 59.4% average and 47.9% median.

Fitchratings.com 2013 U.S. High Yield Default Outlook Fitch Ratings projects that the U.S. high yield default rate will remain low in 2013. However, the rate needs to be viewed with caution as more of a lagging rather than leading indicator of credit conditions.