Collateral damage?

credit

Although nobody could predict the timing of the recent turbulence in the credit markets, few believed spreads could stay so tight forever.

At July's close, corporate credit spreads widened to their most extreme levels since 2005 and more rapidly than any time since the Itraxx Crossover index was created (See graph below). Volatility levels have not been so high since after 11 September 2001, according to Markit Group.

"You could see it coming, the writing was on the wall," says George Tintor o

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: