Sunday, December 7, 2008

This Week In Markets History

Didn't want to miss this one, since we get a new record (or two!) almost every week now:


Dec 3rd, FT

The Markit iTraxx Crossover index rose above 1,000 basis points for the first time since it was created in 2004, ...

The index, composed of 50 mostly junk-rated companies in Europe, rose 60 basis points to highs of about 1,020bp, according to Markit, the data provider.

It was trading at about 700bp, or a cost of €700,000 to insure €10m of debt annually against default over five years, on November 1. Before the credit crunch it was below 200bp.




Also, Gold prices on Comex were in rare - very rare - backwardation on the 2nd and 3rd. [I'm looking for a chart/data...]

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