CDS Rout In Financials Continues, As Equities Finally Smell The Foreclosed Coffee

Tyler Durden's picture

First thing yesterday, when we first highlighted that CDS in mortgage fin names were blowing out, even as the moronic market was all giddy on JPM's earnings beat which was really a miss, we warned "be careful trading financial stocks: JPM's earnings were actually very bad, and so far only credit has figured it out. Equities, being traded now exclusively by Fed-frontrunning retards and virus-infested robots, are a little slow." Prophetically, the equity slowness has finally caught up with reality, and BofA and Wells stocks are tumbling. Alas, fins have much more to drop, especially if and when the RMBS and CMBS markets are gutted (incidentally that CMBX III-IV AJ is looking like a screaming short right here, right now). Below is that latest CDS fin rerack - it is a bloodbath.

  • Bank of America Corp.        195.50    182.5    +13.00
  • Citigroup Inc                       176.50    165.5    +11.00
  • Capital One Bank                  86.50    80.3    +6.25
  • Capital One Financial Corp.  114.50    107.5    +7.00
  • JP Morgan Chase & Co.         97.50    90.5    +7.00
  • Wells Fargo & Company      131.50    120.0    +11.50
  • Ally Financial Inc.                 447.50    390.0    +57.50
  • Residential Capital, LLC       746.49    685.0    +61.49 
  • Goldman Sachs Group Inc   151.50    145.5    +6.00

and, last but not least,

  • Block Financial LLC              557.50    522.5    +35.00

Good work Strat Session for catching up here.

h/t Credit Trader