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Strategies & Market Trends : SiliconInvestor All Stars Forum

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To: John Vosilla who wrote (1534)11/9/2007 9:07:13 PM
From: SouthFloridaGuyRead Replies (1) of 1718
 
No idea. The creditworthiness of many financial companies is being questioned. How can a bank do business when its credit default swaps are trading at 300+ over LIBOR?

I would say the financials are a buy when we see credit risk-premia contract say on a 6 month over 6m basis.

Right now credit spreads are widening so that does not bode well for a longer horizon investor.
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