sovereign debt crisis

Here are a few charts from the credit default swaps market based on 5-year CDS. Here’s what I see.

Market sentiment is improving amid hopes that G20 policy makers willing to take action to stem crisis. Markets keen to focus on Italian vote of confidence and US economic data in North American session. China’s inflation slowed in Sept.…

The full text of S&P's downgrade of Spain

Europe is way over banked and the chart illustrates the monumental task and cost of recapitalizing some of their largest banks. The size of the largest four banking institutions in France, for example, represents over 300 percent of the…

The data have shown that deposit flight out of the euro zone into the US just isn’t happening. But what about intra-euro zone deposit flight? Here’s a chart from the Council on Foreign relations that suggests this could be a story supported…

The problems Italy faces may have deeper roots than simply the current prime minister. It is not clear that the opposition offers a significantly different agenda rather than different personalities. ECB bond buying of Italian debt…

Global stock continue to push higher amid choppy conditions; EuroStoxx reaches 6-week high. Slovakia’s rejection of the EFSF 2.0 is unlikely to derail ratification; EUR/USD breaches 1.38. China’s PBOC reportedly intervened it the Chinese…

In an interview carried on Austrian Television station ORF, Euro Group President Jean-Claude Juncker admitted that the present bailout package for Greece will not stand. The 21% discount worked out just a few months ago will become 50 or…

Equity markets paring back recent gains after one-week recovery ahead of Slovakia EFSF vote. Slovakia is the last country to vote on EFSF enhancement; “Yes” vote is not a done deal. News reports indicate China’s SWF is buying bank shares;…