In our inaugural CDS liquidity survey, we asked voters to nominate the banks that provided the best secondary market liquidity for single-name CDS and indices, in dollars and euros. JPMorgan swept the board in all four categories.
Over the past quarter - the survey period - the main driver of CDS spreads has been monoline insurers. As the subprime contagion hit, they went from trading sub-Libor to 1000 basis points. Trading at such levels reflects the market's conviction that these institutions n