S&P 500 Relies on Tech for Growth in Q4 2024, Says Barclays 
Mexico's Undervalued Equity Market Offers Long-Term Investment Potential 
Oil Prices Dip Slightly Amid Focus on Russian Sanctions and U.S. Inflation Data 
Moody's Upgrades Argentina's Credit Rating Amid Economic Reforms 
U.S. Stocks vs. Bonds: Are Diverging Valuations Signaling a Shift? 
Energy Sector Outlook 2025: AI's Role and Market Dynamics 
U.S. Treasury Yields Expected to Decline Amid Cooling Economic Pressures 
U.S. Banks Report Strong Q4 Profits Amid Investment Banking Surge 
Lithium Market Poised for Recovery Amid Supply Cuts and Rising Demand 
European Stocks Rally on Chinese Growth and Mining Merger Speculation 
Global Markets React to Strong U.S. Jobs Data and Rising Yields 
Fed May Resume Rate Hikes: BofA Analysts Outline Key Scenarios 
Moldova Criticizes Russia Amid Transdniestria Energy Crisis 
Wall Street Analysts Weigh in on Latest NFP Data 
UBS Projects Mixed Market Outlook for 2025 Amid Trump Policy Uncertainty 
Goldman Predicts 50% Odds of 10% U.S. Tariff on Copper by Q1 Close 
China's Refining Industry Faces Major Shakeup Amid Challenges 
Moody's Investors Service says that its Asian Liquidity Stress Index (LSI) rose to 28.5% in November from 27.4% in October.
The increase came as the number of rated high-yield companies with the weakest speculative-grade liquidity score (SGL-4) increased to 35 from 34 while the number of rated high-yield companies decreased to 123 from 124.
The index measures the percentage of high-yield companies with SGL-4 scores as a proportion of high-yield corporate family ratings and increases when speculative-grade liquidity appears to deteriorate.
"The November decline marks the fourth straight month in which the Asian LSI has deteriorated, bringing it to a level last seen in December 2012," says Brian Grieser, a Moody's Vice President and Senior Analyst.
"When combined with trends witnessed -- which includes downgrades consistently outpacing upgrades and the number of issuers with a negative leaning outlook rising -- the situation continues to highlight a broad weakening of the credit profiles of high-yield issuers across the region," adds Grieser.
However, the November index remains well below the record high of 37% reached in December 2008 amid the global financial crisis.
Grieser was speaking on conclusions contained in Moody's just-released report, Asian Liquidity Stress Index, a monthly publication.
The liquidity stress sub-index for North Asian high-yield issuers was 30.1% in November, up marginally compared to 28.8% in October 2015 and 24.0% in December 2014. Within this portfolio, the Chinese sub-index remained at 28.1%, the Chinese high-yield property sub-index remained at 24.3% and the Chinese high-yield industrial sub-index remained at 33.3%.
The liquidity stress sub-index for South and Southeast Asian high-yield issuers weakened to 26.0% in November from 25.5% in October. The Indonesian sub-index decreased to 17.4% in November from 20.8% in October. This reading reflects the number of Indonesian companies with SGL-4 scores reduced by one to 4 and the total number of high-yield Indonesian companies also reduced by one to 23.
Moody's further notes that rated high-yield bond issuance picked up in November after no recorded issuance in September and October. However, Asian high-yield issuance in 2015 remains at the lowest level since 2012.
In addition, in November, Moody's took six downgrade and two upgrade rating actions closing out the month with a downgrade/upgrade ratio of 3.00x, continuing the trend that has seen downgrades exceed upgrades every quarter since Q2 2013.
