Belgium, Morgan Stanley CDS Hit Escape Velocity

Tyler Durden's picture

We must have missed the moment when Jim Cramer defended Morgan Stanley today, but judging by the company's CDS which is +30 to a ridonculous 610/650, he must have said something positive. In fact, the bank's "outperformance" is only matched by that of Waffled which as we have been saying since Friday is going to meet Dexia about halfway. Today it is +23 to 290/300, the worst performer of any country in the world.


                                   5Y                  10Y            5/10's                            

  • Waffled        290/300  +23  285/299       -8/2       !!!!                        
  • ITALY            480/490  +14     456/470      -30/-10                             
  • SPAIN           385/395  +12     358/374      -30/-10                             
  • PORTUGAL  1120/1160 +5      855/925     -280/-220                            
  • Guiness        700/740  +10     520/590     -195/-135                            
  • Euzo              60/64   +1          61/65      -0.5/2.5                                                                                                             
  • Fried            198/202  +11   209.5/219.5     12/17                              
  • AUSTRIA      178/186  +6     191.5/201.5     12/17                              
  • DOA (Eng)    100/104  +5        116/122       15/19                            
  • Dooshland    120/124  +5        139/145       17/21


  • XO 880/885 +26 MAIN 211/212.25 +6
  • SEN Fins 299/303 +15 sub 550/562 +11
  • IG17 151   (+1)      

And Fins:

  • MS  610/650   +30        !!!!
  • BAC 475/505     +25      
  • AXP   135/150   +10         
  • GS  410/440      +25      
  • COF B 145/160  +10         
  • JPM 180/200     +5        
  • COF F 180/200  +10         
  • MER 530/560    +25      
  • GECC  345/365 +15         
  • HSBCF 275/300 +10         
  • WFC 180/200    +5                

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GeneMarchbanks's picture

Doesn't matter, CNBC is still interviewing some comatose baby-boomer CEO white guy. He is clearly unaware of the barbarians. He will be eaten by the poor.

Kudos to Tyler for the MS coverage. Naaaaiiiled it!

Ruffcut's picture

Dooshland? My geography is a little rusty.

nantucket's picture

dooshland = deutschland = germany.  it's a joke.  ha ha.  nevermind.

ratso's picture

Probably not if you are German; and, aslo probably not if you are a grown up.

Vergeltung's picture

yeah, I thought it was stupid too.

heyligen's picture

Waffled is doing well today. How is Pentagon country doing?

gojam's picture


UK = DOA? Dead on Arrival ???

Instant Wealth's picture


UK = Rotten Albion


MarketTruth's picture

Saw clown Cramer do his jig dance for MS live yesterday and the tone and tempo was the EXACT SAME as it was when clown Cramer said all was well with Bear Sterns.

'nuff said.

BeerGoggles's picture

Could someone please explain what this means in English and why?

What exactly does -8/2 on the 5s10s yield curve mean?


Bodvar Bjarki's picture

5's to 10's are inverted.  Belgium just joined the ranks of the PIGS where insurance costs more in 5 yr space than 10 yr space.  a bad bad sign.  unless u r short...LOL


Cassandra Syndrome's picture

<-------- Dow 10,000 Caps to feature here before this weekend

<-------- No Dow 10,000 Caps featured this week here

SheepDog-One's picture

Just dug out my trusty old DOW 9K hat.

GeneMarchbanks's picture

Coincidence cause I got my trusty AU 9K hat :)

Nate H's picture

Tyler you are her clever and prolific. If you accomplish nothing else with zh other than discrediting GS and Framers you will have done a service for society

gojam's picture

When they write the history books zerohedge will be a prime resource.

Esso's picture

What makes you think there's going to be electricity around to recover the information?

Better yet, what makes you think there's going to be anyone around to write history?

Sheesh, you hopeless optimists.

rpboxster's picture

That's why I print out every page of ZH and put it in my vault.  So the next intelligent life forms will realize that some intelligence existed here in on Earth.

Nate H's picture

Edit:  I meant: very clever (not 'her' clever). And Cramer (not Framers).  (Droid autofill, helpful sometimes, others not...)

tuco13's picture

Time to roll up the sleeves and scream like a spoiled little bitch...

SheepDog-One's picture

Yep, Tuco knows if youre gonna throw a temper tantrum, then throw it! Dont just talk about it.

Dick Darlington's picture

Belgium cash bonds are taking a hit now also. Curve flattening, 2yr up 15 bps, 10yr up 10 bps.

SheepDog-One's picture

AH but Bernanke The Great is due to quiver his lip at some egghead economists this afternoon. I dont know why ANY 'economist' still has employ in the U.S.

And for the totaly surreal event of the day, senate is threatening China again to 'play fair' with their currency because 'We need jobs created'? Hey dumbass senate, dont you remember YOU sent all our jobs and factories to China in order to beg for money to fuel the bullshit '75% Borrow to Consume' economic model? UNBELIEVABLE! Like crackheads demanding their dealer pay for their rehab and medical bills.

msmith's picture

More downside ahead for equities.  Yesterday's close was very bearish.  Oil continues to look very bearish with more downside ahead in the near term.  Also the AUDUSD keeps falling in lockstep with the ES.  Bearish price action should continue in the very short term before a retracement.

SheepDog-One's picture

'Retracement' yea sure. Even Golden Slacks says theres 40% chance of recession, which is an admission we are in a depression. 

PaperBear's picture

Yep, Morgan Stanley needs to go bankrupt.

1835jackson's picture

Greece will default by November 16

Fips_OnTheSpot's picture

O'rly? Like they said for end-of-september, then mid-october, now it's going to precise dates.

Gimme a break!

Fips_OnTheSpot's picture

Morning to the US -- here in Germany the DAX is roughly down 4% already and lost a major support of 5250 -- happy trading :)

Flounder's picture

Those CDS levels are getting to be like a gas mist over the trenches in Belgium during the Spring of 1915.  Lets hope it doesn't go those extremes.

Cliff Claven Cheers's picture


Tuesday, Oct 04, 2011 08:14 AM

. . . . . . . . . . . . . . . . . . . . . . . . . 

 Austrian Finance Minister says that EFSF should not buy government debt and should not become a "bad" bank. This leaves bond-buying up to the ECB then...



SheepDog-One's picture

Which confirms they are in a panic.

Theyre right its not like 2008, its way worse, because theyve fixed nothing and this time they dont have any way out.

WonderDawg's picture

Not only have they fixed nothing, they've made the situation worse by several trillion dollars, and they've wasted all their bullets. Although, like the guy above said, I believe there will be a partial retracement of this dive from the highs in May. But after the partial retracement, look out below, as the 2009 lows will be taken out on the way down to much lower lows.

jmcadg's picture

Morning from the UK too. The FTSE down 3.3%, briefly below 4900, soon to carry on it's travels.

vocational tainee's picture

where is sudden deathß

Fips_OnTheSpot's picture

Around the corner - otherwise it wouldn't be "sudden".





clones2's picture

Oh man - I actually watched Cramer last night just to have something on during dinner...

I used to watch him on a very regular basis as I was usually doing my own research etc... when he was on but have stoppped watching him in the past couple years.

The dude is completely full of it.  Is either TOTALLY disconnected from what is going on, or is completely full of it to the general public.

FYI - Morgan is TOTALLY FINE!!!  Of course he wouldn't buy the stock here - but they are totally fine.  "Look this isn't 2008..."  No kidding jackass - it's 2011...which may be even worse.

myshadow's picture

well, he was whining this morning about being 'picked on'....God this little man has a thin skin, then again, he may also be self aware enough to know the critics are actually right and he just has to let us know 'it hurts'.

DeadOnArrival's picture

If I recall correctly, it was Northern Rock that ushered in the wave of great financial sector, it is only fitting that we return the favor on this side of the Atlantic and offer up the first sacrifice (MS, BoA, C, RF...take your pick)'s a race to the bottom...let the games begin!

MiningJunkie's picture

The rabble are finally coming over the "walls" as in "Wall Street"...pitchforks, torches, and nooses are the order of the Day.

But Jamie Dimon thinks he is being treated unfairly...

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