News
DTCC launches weekly CDS update
The Depository Trust and Clearing Corporation (DTCC), the largest derivatives clearing house in the US, released its first weekly snapshot of the credit derivatives market yesterday.
Ted spread and Libor drop again
Confidence in the interbank lending markets improved today, with the Ted spread and Libor continuing to fall.
JP Morgan closes prop positioning unit
JP Morgan is closing its proprietary positioning unit, entailing significant job losses among its 80-strong staff.
Ambac and MBIA record heavy Q3 losses
Battered by mortgage-related positions and credit losses, bond-insurance companies Ambac and MBIA both took a hit in the third quarter.
Glitnir debt settled at 3% and 0.125%
Another failed Icelandic bank, Glitnir, has seen its senior debt settled at 3% and subordinated debt at 0.125% in a credit event auction today.
CDS losses hit Swiss Re
Swiss Re, the world’s second largest reinsurer, has reported a third quarter net loss of SFr 304 million ($262 million) after being hit by heavy mark-to-market writedowns on its structured credit exposures.
UK CDS spreads widen
The cost of credit protection on UK financial institutions increased in early trading this morning, though market sentiment towards US banks improved on the eve of the presidential elections.
Ceiops releases governance paper
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44% drop in EU ETS shortfall predicted
The global recession will bring a 44% drop in EU ETS shortfall, according to a forecast on November 3 by IDEAcarbon, a carbon market and research firm
Essent gains Spanish trading license
Essent Trading announced today that it has been granted a license to trade natural gas on the Spanish market by the Spanish Ministry of Industry, Tourism and Commerce.
Energy traders clash with regulators
In the wake of the credit crunch, energy trading executives have clashed with regulators over the potential imposition of what they see as onerous trade data reporting obligations.
VeraSun Bankruptcy Highlights Tough Ethanol Market Say Experts
VeraSun Energy’s latest financing package may have given it the necessary relief to continue operations, but its bankruptcy filing indicates times are extremely tough for the ethanol industry, with more casualties expected, experts say.
FCStone to post bad debt provision
FCStone Group, an integrated commodity risk management company, has announced it expects to incur a pre-tax bad debt provision of up to $25m due to losses by three domestic accounts, including an energy trading account.
US and European CDS spreads tighten
The cost of credit protection on eurozone financial institutions dropped this morning, with markets continuing to stabilise after recent government interventions.
Landsbanki bonds settled at 1.25% and 0.125%
In an auction to cash-settle credit default swaps (CDSs) tied to Icelandic bank Landsbanki, recovery rates on its senior and subordinated debt were set at 1.25% and 0.125% today, respectively.
UBS risk chief steps down
Joseph Scoby, who has led UBS' risk department during one of the most disastrous years in the bank's history, has stepped down, to be replaced by his deputy, Philip Lofts.
Interbank markets remain stable
Confidence in the interbank market climbed today, reflected in the decline of the Ted spread and Libor rates.
RBS announces further credit market hit
Royal Bank of Scotland (RBS), one of three British banks to receive capital injections under a £50 billion government bailout package, on Monday announced writedowns of £206 million of credit assets in the third quarter, following £5.9 billion of…
UK government sets up investment manager
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Powernext gas futures to launch in November
Energy exchange Powernext is set to launch natural gas spot and futures contracts for the French market in the second half of this month.
Close of Constellation credit facility extended
Constellation Energy’s credit facility with UBS and RBS will now close on 26 November 2008 with commitments from the banks expected to total between $1bn and $1.25bn.
New York Fed hires Bear Stearns' ex-CRO
The Federal Reserve Bank of New York has hired Michael Alix, previously chief risk officer at Bear Stearns, as a senior vice-president in the bank supervision group.
November target for CDS central counterparty
Dealers have pledged to the Federal Reserve Bank of New York to begin using a central counterparty for clearing credit derivatives by the end of November.
Maybank reshuffles senior execs
Kuala Lumpur-based Maybank, Malaysia's biggest bank by assets, is reshuffling its senior management team as part of its plan to be a leading regional financial services group by 2015.