CDS lessons from the emerging markets

Days before the start of the football world cup, Hungary’s new governing party scored a spectacular own goal. Exaggerating the failings of the old administration, apparently for domestic political gain, two senior officials insisted the country was facing a Greek-style debt crisis and warned a default was not out of the question. By June 5, an outpouring of sceptical comment from analysts and economists had forced the government to admit it was hyping the problem – although not before the euro