Spreads and more [NotSoBreakingPrice] - MarketTicker Forums


	Detailed market commentary at The Market Ticker and Ticker Classics (The Year 2012 In Review) Donations accepted; we offer GOLD ACCESS for enhanced privileges. T-Shirts, caps, coffee mugs? Click here. BlogTalkRadio - Mondays at 3:30 Central - Yes, TickerGuy has a radio show (kinda) RSS available You are not signed on; if you are a visitor please register for a free account!

Posting in this area at this time is restricted; see the FAQ for our donor program.

Sponsored Advertising

To remove advertising from your display upgrade to Gold Donor status

MarketTicker Forums Read Message in NotSoBreakingPrice

User: Not logged on

User Info	Spreads and more in forum [NotSoBreakingPrice]
Icelander Posts: 58 Incept: 2009-01-22 Iceland	France-Germany 10 year spread at a new high, 190 bps (up almost 30 bps today) and so is their 5 year CDS spread, at around 230 bps. http://www.bloomberg.com/quote/!FRAGER10.... http://www.bloomberg.com/quote/CFRTR1U5:.... So is the Spain-Germany 10 year spread and 5 year CDS spread, at 455 bps and 485 bps respectively. http://www.bloomberg.com/quote/!SPAGER10.... http://www.bloomberg.com/quote/CSPA1U5:I.... And also the Belgium-Germany 10 year spread and 5 year CDS spread, 313 bps and 355 bps respectively. http://www.bloomberg.com/quote/!BELGER10.... http://www.bloomberg.com/quote/CBELG1U5:.... Austria´s 5 year CDS spread is also near all time high. http://www.bloomberg.com/quote/CAUT1U5:I.... Hungary´s 5 year CDS spread is also near ATH, at 610 (was around 630 in March 2009). http://www.bloomberg.com/quote/CHUN1U5:I.... Also the Hungarian forint is near all time low against the Euro (ATL is little below 320, is now at around 315). The market is helding up quite well considering what´s going on with the European sovereigns. You would think the market would be down more when it seems that everything is falling apart in Europe. Also, Euro BTP futures near days low (and the yield near day´s high, around 7,05%) (Note that the Bloomberg charts and CDS quotes are delayed one day) 2011-11-15 11:48:01 Permalink
Pika-steph Posts: 54705 Incept: 2007-09-11 Live Free Or Die; US Army Est. 1775	Thanks Icelander. What is going on over there in Iceland? http://market-ticker.org/akcs-www?post=1.... ---------- Stop the Looting; Start Prosecuting - http://www.FedUpUSA.org/ "The only regulation that really works is failure."--Rick Santelli 2011-11-15 13:22:32 Permalink
The_venerable Posts: 4864 Incept: 2009-01-31 USD = toxic asset Banned	Just look at France -- it's all about France now. 2YR move from 1% to 1.8% in a week. ---------- The kingdom is falling. Last modified: 2011-11-15 13:45:57 by the_venerable 2011-11-15 13:45:03 Permalink
Argos Posts: 6315 Incept: 2008-03-23 The Green Mountain State	http://www.bloomberg.com/news/2011-11-15.... Partial quote: Quote: European Union lawmakers backed a proposed short-selling law that paves the way for an optional ban on naked credit- default swaps tied to sovereign debt. The legislation, which would also curb so-called naked short selling of stocks and government bonds, was approved by the European Parliament at a meeting in Strasbourg, France, today. A CDS traded is considered “naked” when an investor buys the swap without being at risk of suffering losses from a default. BB attributes the equity rally to this news item, as well as to other factors (such as comments from Blankfein, Monti, and Evans; and econ data). 2011-11-15 13:55:10 Permalink
Robw Posts: 837 Incept: 2007-08-10 Southern California	Thanks Argos. Sounds like a controlled burn. Burn the "speculators" in hopes that it won't trigger the TBTF nuke, thus buying some more time so that the ponzi scheme can continue. So how exactly do they expect to unwind this? ---------- The laws of mathematics are not suggestions. - K.D. Last modified: 2011-11-15 14:23:21 by robw Reason: added question 2011-11-15 14:21:38 Permalink
Jubber Posts: 14020 Incept: 2007-07-05 UK	Can't argue with Naked shorts being banned, should of been done (I thought it was ) years ago. ---------- “The problem with socialism is that, sooner or later, you run out of other people’s money.” Thatcher 2011-11-15 14:26:37 Permalink
Robw Posts: 837 Incept: 2007-08-10 Southern California	Sure, but the $2 quadrillion question is: how much of the CDS market on sovereign debt is currently naked? ---------- The laws of mathematics are not suggestions. - K.D. 2011-11-15 14:41:29 Permalink
Early_retirement Posts: 3610 Incept: 2007-06-26 Burlington, Vermont	Who cares, they won't ever declare a sovereign default involuntary. Who would buy CDS after Greece? ---------- "You cannot legislate the poor into prosperity by legislating the wealthy out of prosperity. What one person receives without working for, another person must work for without receiving. The government cannot give to anybody anything that the government does not first take from somebody else." 2011-11-15 18:52:37 From PDA Permalink
Robw Posts: 837 Incept: 2007-08-10 Southern California	That is my point! If no one buys, then what happens to CDS prices? If there is a LOT of selling and no buying, then more selling results. Regardless, sellers will have to writedown losses. That is why I am interested in understanding just how much of the CDS market on sovereign debt is naked. ---------- The laws of mathematics are not suggestions. - K.D. 2011-11-15 19:24:42 Permalink