Photographer: Susana Gonzalez/Bloomberg

Defaults Have Already Spread Outside Commodities

A credit cycle like any other.

Bond investors appear to have placed their faith in commodities exceptionalism, with many positing that the recent pick-up in U.S. default rates will defy historical trends and remain confined to that industry. 

New research from Deutsche Bank AG pours cold water on that idea, arguing that there are already signs of contagion in junk-rated debt outside of the commodities space.

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