Gavan Nolan of Markit wrote this CDS report The difference between sovereign and corporate CDS spreads in Europe this week reached its smallest level since February as public finances came under increasing scrutiny. The Markit iTraxx SovX Western Europe hit 65bp on Thursday, its widest level since it began trading in September.
Markets live chat transcript for the chat ending at 12:19 on 18 Nov 2009. Participants in this chat were: Neil Hume, FT (NH) Bryce Elder (BE) NH:good morning NH:it’s 11.03am NH:and time for Markets Live NH:FT Alphaville’s daily markets chat
The spread between Greek bonds and German bunds widened to 153 basis points on Monday, the widest since July 17. And while analysts connected this to the deteriorating state of the nation's finances, what struck us as interesting was the following statement from the Greek central bank (via Euro2day).
Ambassador, you are really spoiling us with these bid stories.
Various European press reports of the possibility of a Kraft-melting Ferrero-Cadbury tie-up have set chins a wagging in London on Tuesday morning.
The Telegraph's London market report floated the idea that Ferrero had been talking with NM Rothschild about teaming up with another party to mount a joint counter bid for Cadbury.
Markets live chat transcript for the chat ending at 12:10 on 16 Nov 2009. Participants in this chat were: Neil Hume, FT (NH) Miles Johnson, FT (MJ) NH:Hey there NH:It’s 11.03 NH:just NH:and time for Markets Live NH:FT Alphaville’s Daily Markets chat
Comment, analysis and other offerings from Monday's FT,
Clive Crook: American dream needs repair Sooner or later the US will find itself grappling with an immense fiscal problem, writes Crook. The recession and stimulus have combined to produce record-breaking deficits, and economic recovery will not come close to restoring balance.
Huzzah! The Eurozone returned to positive GDP growth in the third quarter, as the below chart courtesy of JP Morgan shows:
Eurozone GDP rose by 0.4 per cent in quarter-on-quarter, after five consecutive quarters of declines. Economists had expected a 0.5 per cent rise.
And accordingly, here is JP Morgan economist David Mackie looking suitably unimpressed:
Here are the key details of the memorandum of understanding for a proposed "merger of equals" between BA and Iberia. And, my, does it look complex.
A new holding company (TopCo) will be created that will own both the existing airlines. BA shareholders will get one share in the combined company for every existing share they hold in BA; Iberia shareholders (IBLA) will get 1.0205 shares in the enlarged company for every Iberia share they hold.
Shares in British Airways were up 10 per cent on Thursday afternoon amid expectations that the troubled carrier's long-planned merger with Spain's Iberia is finally about to happen.
But earlier in the London day there had been a lot of conflicting newsflow.
Here's the backstory.
On Wednesday night Sky News' City Editor Mark Kleinman revealed this on his blog:
Markets live chat transcript for the chat ending at 12:13 on 12 Nov 2009. Participants in this chat were: Neil Hume, FT (NH) Bryce Elder (BE) NH:Good morning NH:it’s 11:03 NH:just NH:and time for Markets Live NH:FT Alphaville’s daily markets chit chat
