Corporate bankruptcies near 15-year high as economic stress triggers wave of failures
By isabelle // 2025-11-17
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  • Corporate bankruptcies are accelerating toward a 15-year high.
  • The industrials and consumer discretionary sectors are being hit hardest.
  • High-profile company collapses signal a systemic financial problem.
  • Experts warn the wave of bankruptcies will spread to other sectors.
  • This corporate crisis represents immense human cost through lost jobs.
The American economy is flashing red, and the warning signs are impossible to ignore. A silent collapse is rippling through the corporate landscape, pushing business failures toward a 15-year high. This isn't a random anomaly; it's the direct consequence of disastrous economic policies, institutional corruption, and a deliberate war on domestic energy that has crippled supply chains and drained the life savings of hard-working Americans. The latest data from S&P Global reveals that through October, a staggering 655 companies have filed for bankruptcy, nearly matching the total for all of last year. This accelerating pace of failure exposes the upsetting reality behind the official narratives of recovery and strength. The pain is widespread, but some sectors are being hit harder than others. The industrials sector leads the nation with 98 bankruptcies, a direct result of snarled supply chains and punishing tariffs that have made it impossible for manufacturers to operate profitably. Close behind are consumer discretionary firms with 80 bankruptcies, a clear signal that the American consumer is exhausted, tapped out, and can no longer sustain the phantom economy built on stimulus checks and debt.

A series of high-profile collapses

This year has been marked by several high-profile collapses that sent shockwaves through the financial world. The implosion of subprime auto lender Tricolor and the catastrophic failure of auto-parts supplier First Brands, which disclosed liabilities exceeding $10 billion, served as a wake-up call. These are not isolated accidents but symptoms of a deeply sick system. JPMorgan CEO Jamie Dimon seemed to acknowledge the creeping rot, sparking controversy in financial circles with a warning. "My antenna goes up when things like that happen," Dimon said. "I probably shouldn't say this, but when you see one cockroach, there are probably more." His analogy is more accurate than the talking heads on the corporate media would ever admit. The evidence is piling up that this is a systemic infestation. In October alone, there were 68 new corporate bankruptcy filings. This follows August's 76 filings, which was the highest monthly tally since the economic lockdowns of 2020. The trend is clear and accelerating, pointing toward a year-end total not seen since the depths of the Great Recession.

More "isolated incidents" to come

Experts are now openly predicting that the dominoes will continue to fall. Clayton Triick, head of portfolio management at Angel Oak Capital Advisors, told S&P Global Market Intelligence that he expects more of these "isolated incidents" to occur. "I view those few incidents as idiosyncratic but expect more of these 'isolated incidents' to occur, potentially in other sectors like software, which has increased leverage in that market while capital flows to AI capex," Triick stated. This is a polite way of saying the financial stress is mounting and the cracks are beginning to show across the entire foundation of the economy. This crisis has been building for years, fueled by the Federal Reserve's manipulation of interest rates and the federal government's addiction to reckless spending. The data shows that bankruptcy filings have risen every year since 2022, when the Fed was forced to confront the inflation monster it helped create. Now, consumers are straining under the weight of a cooling job market, persistent inflation, and the added burden of new tariffs. The so-called safety nets have proven to be traps, leaving millions of Americans vulnerable. The human cost of this corporate collapse is immense. Each bankruptcy filing represents lost jobs, shattered retirement dreams, and communities pushed to the brink. This is the true cost of economic mismanagement and a departure from sound, liberty-based principles. So, where does this leave us? The path forward requires a fundamental rejection of the failed policies that created this mess. It requires fostering a culture of transparency and genuine care for individuals' well-being, not bailouts for corrupt corporations. Society must work toward creating a resilient economy capable of weathering future crises without relying on massive government stimulus that devalues our currency. The accelerating pace of corporate bankruptcies is more than just a statistic; it is the canary in the coal mine for the American middle class and a reminder that an economy built on debt, deception, and central planning is destined to fail. Sources for this article include: ZeroHedge.com SPGlobal.com Reuters.com
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