DISTRESS WATCH: Troubled Debt Drops Despite Rising Global Risks

Credit markets are shrugging off the latest round of tariff troubles, with the global supply of distressed debt falling for a third straight week.

The total amount of bonds and loans in Bloomberg News’ global distressed debt trackerfell 1.8% to $517 billion during the week ended July 11. That’s the lowest level since June 6.

In a sign of how credit markets are brushing aside risk factors, yields on multiple benchmarks fell last week even as US President Donald Trump threatened to impose higher levies on some of the country’s biggest trading partners. Bloomberg’s US Leveraged Loan Index closed ...