Tag: CDS

The Economic Contagion Has Spread to Germany

It’s pretty-much over at this point….
This morning Germany had a failed Bund auction.  That’s not particularly noteworthy; it happens from time to time.
But what’s noteworthy is that happened to bond yields everywhere through Europe in response: They blew out.
The Greek and Italian …

Italy, Precious Metals, and a Black Hole of Debt

S&P just downgraded the US Soverigen debt from AAA to AA+. It is remotely possible that some funds which are chartered to hold only AAA debt will sell off US paper on Monday, but it’s more likely they will change their charter. …