Macro
Search catalysts, news stories, and pressures, or browse the trust-weighted news feed below.
month values ▾
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec |
|---|---|---|---|---|---|---|---|---|---|---|---|
| -0.09 | -0.50 | -0.60 | -0.60 | -0.60 | -0.07 | -0.06 | -0.70 | -0.21 | -0.70 | -0.60 | -0.60 |
The sector's existential nadir: WorldCom's $3.8B fraud and largest-ever bankruptcy, plus Global Crossing, Adelphia and Vivendi collapses, wiped out communication equity. Absolute bottom.
How this mood is scored ▾
Global Crossing Inc. filed for Chapter 11 bankruptcy protection amid a $14.6 billion debt burden, with plans to restructure and secure a $750 million investment from Hutchison Whampoa and Singapore Technologies Telemedia. The telecom firm, once valued at $47.6 billion, will continue operations unaffected, but existing shareholders will be diluted, and trading has been suspended on the NYSE, signaling continued distress in the telecom sector.
Telecommunications firm WorldCom revealed a $3.8 billion accounting fraud, leading to restatements, executive firings, and an SEC investigation. The scandal, uncovered amid existing probes and $32 billion in debt, caused its stock to plummet from 83 cents to 20 cents in after-hours trading, raising serious concerns about its solvency and broader financial reporting integrity.
WorldCom, the second-largest U.S. long-distance carrier, filed for Chapter 11 bankruptcy with $107 billion in assets, following revelations of $3.9 billion in accounting fraud. The filing excludes non-U.S. units, and the company secured $2 billion in debtor financing to maintain operations. The collapse impacts major creditors like Citigroup and J.P. Morgan and signals broader instability in the telecom sector.