Industry News
Mortgage Industry News
Credit Default Swaps Pushed Higher
04/26/2010
More concerns about the debt situation in Greece have pushed credit default swaps higher, as well as CDS on Portugal, Spain and Ireland. The euro is weaker; US bonds and equities are up. The Treasury will auction $11B in 5yr TIPs today, $44B in 2yr notes tomorrow, $42B in 5yr notes on Wednesday, and $32B in 7yr notes on Thursday. Right now, the futures market is pricing in an 86% chance that the Fed keeps rates at .25% through August 10th, 2010. Currently, the Ten Year yield is at 3.79% (3.82% on Friday) and the 2-10 yield spread is at 275bps.
