At least 686 U.S. companies filed for bankruptcy in 2024, marking the highest number in 14 years, according to recently released data.
The London-based Financial Times (FT), citing data from Standard and Poor's Global Market Intelligence, reported on Tuesday that U.S. corporate bankruptcies in 2024 rose by eight percent compared to 2023, reaching the highest number since 2010.
Among the hardest-hit companies were those heavily dependent on consumers' disposable income, with the U.S. facing strong inflation and a decline in consumer confidence, the report claims.
The rising cost of goods and services has dampened consumer demand, with the burden particularly heavy for lower-income groups. But even those in the middle- and upper-income brackets have become more cautious with their spending, according to Gregory Daco, the chief economist at accounting firm EY.
U.S. corporate bankruptcies reach 14-year high in 2024
Multiple states across Brazil have been gripped by an intense heatwave in recent days, prompting local authorities to issue weather alerts and urging residents to take precautions, with the high temperatures forecast to continue.
Southeastern states including Sao Paulo, Rio de Janeiro, and Minas Gerais have been experiencing the most extreme heat, with temperatures climbing to a sweltering high of 40.8 degrees Celsius in Rio de Janeiro on Monday.
Authorities across the country have been sending out weather warnings, with residents being advised to avoid prolonged outdoor activities and medics reminding people to take measures to ensure they stay hydrated.
"[You have to] drink plenty of water, use a fan. There is not much you can do to escape it, really. It is absurdly hot," said Ana Flavia, a local resident in Sao Paulo.
"With this change in temperature and the excessive heat, we see a lot of cases of dehydration," said Tiago Foliate Pitirilo, a doctor from the city's Hospital Sao Camilo.
The sweltering heat may be around for a while more, according to experts, who say higher water temperatures in the Pacific Ocean mean Brazil is likely to face more frequent heatwaves this year.
"The ocean forecast indicates that in the second half of the year we will have a warmer Pacific Ocean. This allows us to infer that the number of heat waves in 2026 may be higher than last year, when the Pacific Ocean was cooler," said Marecelo Seluchi, a meteorologist from Brazil's National Center for Monitoring and Alerts for Natural Disasters (CEMADEN).
Brazil in midst of heatwave with more extreme temperatures expected
