Skip to content
Subscriber Only
Lisa Abramowicz

Energy Junk-Debt Losses Pose Reality Check

Less than two years after an epic selloff, investors are getting burned again.
Photographer: Daniel Acker/Bloomberg

Executives of risky U.S. oil companies should feel proud.

They sold billions of dollars of junk-rated debt earlier this year, locking in historically low borrowing costs and pushing out their maturities. And they did so at the expense of debt investors, who now find themselves getting burned yet again, less than two years after one of the biggest selloffs ever in oil-related risky debt.