Swap Spreads Negative … Time to Buy Private Equity?
Brian Kelly submits:
These are the trading days that we live for at Kanundrum Capital – macro news is making waves in the currency and fixed income markets, but the equity markets have yet to meaningfully respond. We have spent considerable effort documenting the flaws in the European “bailout” plan, and today the downgrade of Portugal finds us happily short EUR/USD. But what about that free money we promised in the headline – is this just a bait-and-switch … au contraire mon fraire.
Swap Spreads
For the first time in history the cost for a corporation to borrow (as measured by the 10 year swap rate) is lower than the cost of borrowing for the United States of America.
Investing, Long Term Investment, stock market | admin March 24, 2010
RSS feed for comments on this post.
