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Credit risks rising as company bond quality falls, OFR chief says

( May 24, 2016, 17:26 GMT | Official Statement) -- MLex Summary: Richard Berner, head of the US Treasury’s Office of Financial Research, said credit keeps growing rapidly due to “highly accommodative credit and underwriting standards” as well as investors’ search for yield. In addition, the slowdown in emerging markets’ growth has “exposed the diminished capacity of corporations to service their debts,” he said. Finally, the quality of new company-issued debt “has been weaker than in previous cycles,” Berner said.See document below. ...

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