Morgan Stanley CDS above 400

Morgan Stanley credit default swaps are reaching levels not seen since the credit crisis of years past and currently trade above 400 bps. While all the bulge bracket American banks (and most other banks in general) are seeing their CDS …

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London Whale costs JPMorgan 17 bps in credit risk

17 basis points according to last Friday’s market.  JPMorgan Chase’s unexpected billion-dollar trading losses caused the company’s (as well as its competitors’) credit default swaps to jump by just that much. Not everyone may call it unexpected, however, as …

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Panrico LCDS auction result

Spanish doughnut maker, Panrico, recently had its European loan credit default swap (ELCDS) auction which set a final price of 8.125 on November 23, 2011. There were 5 participants (Credit Suisse, Goldman Sachs, JP Morgan Chase, Morgan Stanley and Royal …

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5 banks write 97% of all CDS

Updated CDS market statistics for you courtesy of a few recent stories from ZeroHedge and Bloomberg.

Five banks—JPMorgan (JPM), Morgan Stanley (MS), Goldman Sachs (GS), Bank of America (BAC), and Citigroup (C) — write 97 percent of all credit-default

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American banks reacting to Italy

American bank credit default swaps are soaring in response to Italian contagion fears. They have previously released details about their individual exposures to Italian sovereign and/or corporate or related debt which range from over $6 billion in JP Morgan’s case …

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American bank CDS widening

From the WSJ……

While Morgan Stanley’s stock price is a few pennies higher today, bucking the rest of the sector and the broader market, the cost of insuring against a Morgan Stanley default in the CDS market is up …

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Australian creditors left with bitter taste

The Australian brewer of the county’s most popular Victoria Bitter (VB) beer, Foster’s Group, has seen its credit default swaps rise after British-South African brewer SAB Miller launched a hostile bid to takeover the company. As reported in Bloomberg,…

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Bank of America

Today is probably best described by 3 words: Bank of America.

The stock is down around 20% reaching lows not seen since the 2009 financial crisis.

The CDS was up 58 bps to 266 bps earlier in the day …

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Large American bank CDS prices

An update on some of the large American bank CDS prices which are rising again on continued concerns over European sovereign debt exposures (in addition to a plethora of other worries):

Citigroup 147 bps

Bank of America 169 bps

Goldman …

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CBOE adds more CEBOs

The Chicago Board Options Exchange (CBOE) re-launched its single-name Credit Event Binary Options (CEBO) in March on 10 industrial firms and due to customer demand, and announced the addition of 5 more financial firms during the last week of April

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