(Bloomberg) -- Stress among Europe’s retail and consumer goods companies rose to the highest since April 2020, hit by weaker spending power and ongoing supply chain disruptions, according to research published on Monday.
The trend contrasts with other sectors, which in general have seen an easing of the stress levels. Overall, stress in European companies eased in the second quarter compared to previous months, as economic growth in the region beat expectations and inflation continued to moderate. The study, published by law firm Weil, Gotshal & Manges, aggregates data from more than 3,750 listed European firms.
Real estate remains the most distressed sector though some indicators, such as declines in property value, showed signs of easing. Healthcare continues to be the second most stressed industry, followed by retail.
Germany is still the advanced economy with the highest levels of corporate distress, followed by the UK, according to the study.
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