Blog

Our Experts Comment the Times Series

See All the Comments
rss

Early Christmas at Dixons

17 December 2013 by HCM

The day before the much awaited final FOMC meeting of 2013, no one was expecting a bold move from the market as a whole. This grapple shows that the tone was somewhat positive, but there was a lot of noise and credits did not move in unison. It took a reassuring set of results from Dixons to make it stand out from the crowd, and the announced deleveraging of the company took the 5 year CDS tighter by more than 20bps (roughly 1% of excess return). Risk premium has not been this low for the name since early 2008.