
BIS sees derivatives growth continue amid selloffs
The bank, however, did note that particularly high-yield credit spreads reverted to record lows in some markets. The tight credit spread environment in high yield has persisted, despite the US subprime woes and investor concerns.
As the report was released, the credit markets suffered another selloff in the bond markets, which caused the spreads on the European iTraxx investment grade index of the 125 most traded credit default swap names to trade 30 basis points wider at one point on Friday last week. By late afternoon today, those spreads had tightened by around 15bp by close of trading.
Today’s trading has been pretty quiet, but stabilised at the 203/204bp level, 15bp wider than last Wednesday according to one London-based trader.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe
You are currently unable to print this content. Please contact [email protected] to find out more.
You are currently unable to copy this content. Please contact [email protected] to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email [email protected]
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email [email protected]
More on Structured products
Regulation
French regulator questions need for share trading equivalence
Esma’s reinterpretation ahead of Brexit reduces need for equivalence system, says AMF official
Receive this by email