Archive for February, 2010

Sovereign CDS – the Chicken or the Egg?

After months of hoopla and commotion over a specific type of CDS that covers sovereign government debt being blamed for causing the precipitous rise in Greek and other European debt-laden countries’ borrowing costs (particularly Portugal, Ireland, Italy and Spain), it …

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Indian banks CDS wider while the stocks are up after budget speech

Indian Finance Minister Pranab Mukherjee released his new 2010-2011 budget today which among many other things promises the equivalent of US$3.58 billion (1US$=Rs.46.135) in state funds to recapitalize the public sector banks and an unspecified amount to recapitalize the regional …

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Korean Banks’ default swaps up in Seoul trading today

Credit default swaps on the major Korean banks appear to mostly be up in unison with the shares of those banks falling in Seoul trading today. The CDS rise has been led by the biggest of them KB Financial Group …

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Who will end up making money off the run-up in Greek CDS? (Part 4)

In the first two parts to winners in the “Greece trade,” we quoted sources that identified banks and several hedge funds as possible benefactors from the run-up in Greek CDS. Now Bloomberg/BusinessWeek added another hedge fund to the …

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Canadian National Railways CDS in locomotion

CreditLime CDS Watch
February 22, 2010

Canadian National Railways CDS in locomotion

Their trains may not go as fast as the bobsleds and sleds and their conductors may not be as healthy or fit as the athletes and lugers currently …

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Werner Langen’s ‘own initiative’ report to European Commission proposes to ban dealers from owning any share of European CDS central counterparties

A German report (English translation expected to be released today) by Deustscheland politician Werner Langen calls for preventing dealers from owning any share in European CDS central counterparties (CCPs). As any free-market capitalist would expect, the report caused quite a …

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CDS spreads around the world

A new Citigroup research report by Strategist Robert Buckland highlights various Sovereign CDS spreads amongst popular (in the CDS markets anyway) countries.  BusinessInsider did an excerpt from the report. And for those who would like a free time-series graphical chart …

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Who will end up making money off the run-up in Greek CDS? (Part 3)

A few days ago we asked the question who stands to win off the run-up in certain European sovereign CDS. In the first update, we identified the possibility that banks “are said to have been the biggest buyers of …

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$3 billion increase (and then fall) in European Financial CDS Index

CreditLime Index Action
February 19, 2010

$3 billion increase (and then fall) in European Financial CDS Index

While out of reach from the ordinary retail investor’s realm of choices, we highlight a significant trade that occurred in the iTraxx Europe …

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Who will end up making money off the run-up in Greek CDS? (Part 2)

A couple days ago we asked the question who stands to win off the run-up in certain European sovereign CDS.

Euromoney magazine quoting other sources including DerivativesWeek and broker-dealer Sanford Bernstein just recently put out a report following a similar …

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