Bankruptcies are spiking as companies lose hope of rate cuts

• April saw the highest number of corporate bankruptcies in a year, S&P Global said.
• Eroding bets of an interest rate cut contribute to this, as burdened business throw in the towel.
• Inflationary data prints in April coincided with a jump in junk-rated yields.

Corporate bankruptcies increased in recent months amid teetering confidence in a quick interest rate pivot.

According to S&P Global, April marked the highest number of bankruptcies in a year, with 66 filings. That's an 88% increase from January's 35 filings.