On the foot of yesterday's widening, CDS for Belgium and Italy posted very significant, close to 5%+ tightening. Portugal is now clearly euro area's 'second weakest prey' and the lions are out, still hungry after Greece:
Nice tightening on Germany - down 5.34% and that amidst rising US yields. Albeit, of course, it is harder now to price CDS post-Greek fiasco, so demand is probably being compressed while supply is on the rise due to adverse impact on overall demand/supply balance in pricing CDS as insurance contracts (which they are not, not after Greece).
All data courtesy of CMA.
Nice tightening on Germany - down 5.34% and that amidst rising US yields. Albeit, of course, it is harder now to price CDS post-Greek fiasco, so demand is probably being compressed while supply is on the rise due to adverse impact on overall demand/supply balance in pricing CDS as insurance contracts (which they are not, not after Greece).
All data courtesy of CMA.
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