CDS

CDS
Tyler Durden's picture

Some More Facts About How The CDS Market Will Be Misconceived To Death





When you have the House Agriculture Committee getting involved in the regulation of the CDS market, it is only a matter of time before it is game over. When both conventional wisdom, and economists-turned-philosophers like Soros claim that credit default swaps are responsible for the downfall of western civilization, presenting any type of factual information is pretty much useless.

 
Tyler Durden's picture

The ISDA CDS Settlement Auction is A Hidden Goldmine for Cash-Rich Accounts





When I discussed the basis trade opportunity, the conclusion was that arbitrage in the secondary (and by extension primary) market exists due to significant dislocations in liquidity. Sure, one can argue that immediate culprits for the arbitrage have to do with counterparty risk and funding costs, which makes sense, but those are merely derivatives of the liquidity disconnects between different brokers, their accounts, and any permutations thereof.

 
Tyler Durden's picture

Major CDS Prior Day Movers






(from Markit)

 
Tyler Durden's picture

Weekly CDS Change Update Per DTCC - Technical Recommendations





New DTCC weekly change numbers released for week ended January 23. Most notable is the huge gross notional and contractual amount of full terminations of consumer services CDS. Looks like funds are fully covering overhanging shorts. As this has been the most profitable position over the past 3 months it is not too surprising. Based on this technical data, we would recommend establishing short positions in the space due to the diminishing risk of a mass squeeze.

 
Tyler Durden's picture

Weekly CDS Change Update Per DTCC - Technical Recommendations





New DTCC weekly change numbers released for week ended January 23. Most notable is the huge gross notional and contractual amount of full terminations of consumer services CDS. Looks like funds are fully covering overhanging shorts. As this has been the most profitable position over the past 3 months it is not too surprising. Based on this technical data, we would recommend establishing short positions in the space due to the diminishing risk of a mass squeeze.

 
Tyler Durden's picture

Major CDS Last Day Movers





 
Tyler Durden's picture

Major CDS Last Day Movers





 
Tyler Durden's picture

January 26 CDS Major Movers





 
Tyler Durden's picture

January 26 CDS Major Movers





 
Tyler Durden's picture

Weekly CDS Change Update Per DTCC





As CDS traders are aware, two months ago, or about the same time Chris Cox wanted to turn everyone that had even the remotest connection to trading CDS into soap, the DTCC started disclosing everything it knows (not all that much) about the CDS market on a weekly basis. At Zero Hedge, we are starting a weekly column that looks at the net additions and reductions, and ergo, net change in the CDS market, from both a notional and contractual point of view, based on DTCC data.

 
Tyler Durden's picture

Weekly CDS Change Update Per DTCC





As CDS traders are aware, two months ago, or about the same time Chris Cox wanted to turn everyone that had even the remotest connection to trading CDS into soap, the DTCC started disclosing everything it knows (not all that much) about the CDS market on a weekly basis. At Zero Hedge, we are starting a weekly column that looks at the net additions and reductions, and ergo, net change in the CDS market, from both a notional and contractual point of view, based on DTCC data.

 
Syndicate content
Do NOT follow this link or you will be banned from the site!