Recent data shows that corporate bankruptcies in the U. S. are reaching a 15-year high, with over 650 companies filing for bankruptcy in 2025. October alone saw 68 new bankruptcies, primarily affecting the industrial sector, which experienced 98 filings due to supply chain issues and tariffs. The consumer discretionary sector also faced challenges, with 80 bankruptcies reported so far.
This economic crisis has impacted lower- and middle-income consumers, who are struggling with inflation and stagnant wages, while major retailers have announced layoffs. Concerns have been raised by JPMorgan CEO Jamie Dimon about a potential broader economic downturn.
However, there is some optimism for recovery. Proposed legislation, such as tax relief from the One Big Beautiful Bill Act, may improve consumer sentiment and disposable income in the coming year. Additionally, infrastructure projects could create jobs and stabilize the economy. The current leadership is focusing on policies to support American workers and rebuild the economic foundation of the nation.
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