S&P U.S. default rate estimated at 1.96% for November on six defaults

By Caroline Salls

Pittsburgh, Dec. 1 - Standard & Poor's trailing 12-month U.S. default rate fell to an estimated 1.96% in November from 2.06% in October, according to an article titled "Default Rate Flash: U.S. Default Rate Declines to an Estimated 1.96% in November."

S&P said anticipation of a resolution to the European sovereign debt crisis through a new rescue package and the actions of central banks around the world, as well as the better-than-expected start to the U.S. end-of-the-year holiday shopping season helped to lift investor sentiment toward the end of November.

S&P's Diane Vazza said in the report, "six U.S. companies defaulted on their debt during the month."

Two of those November defaults came from the leisure/media sector, one from the homebuilding sector, one from the energy and national resources sector and two from the transportation sector.

"The default rate increased by 12 basis points in October - the first increase of more than 10 bps since December 2009," Vazza said in the release.

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