According to The Kobeissi Letter, US large bankruptcies surged by 49% year-over-year in Q1 2025, reaching 188, marking the highest quarterly count since 2010. This increase in bankruptcies indicates potential volatility in the financial markets. With the number of bankruptcies surpassing those during the 2020 pandemic onset, traders should closely monitor the impact on stock prices and sector performance. This trend follows 694 large company bankruptcies in the previous year, requiring strategic adjustments in trading portfolios to manage risk.