Short US Treasuries?
The Nattering One has been telling his friends, US Treasuries are next to tank and rates will increase.
Today, Analysts at RBS Greenwich Capital Markets told clients...
There is a possibility that the Treasury could lose its top AAA credit rating if it's forced to bail out FNMA or FHLMC
which would likely cause credit-default swaps on government debt to widen while contracts tied to the senior debt of Fannie and Freddie narrow.
Investors should buy Treasury credit-default swaps while at the same time...
selling protection on Fannie Mae and Freddie Mac via the contracts, a bet that the difference between the two will narrow.
Hattip to Bloomberg.
Today, Analysts at RBS Greenwich Capital Markets told clients...
There is a possibility that the Treasury could lose its top AAA credit rating if it's forced to bail out FNMA or FHLMC
which would likely cause credit-default swaps on government debt to widen while contracts tied to the senior debt of Fannie and Freddie narrow.
Investors should buy Treasury credit-default swaps while at the same time...
selling protection on Fannie Mae and Freddie Mac via the contracts, a bet that the difference between the two will narrow.
Hattip to Bloomberg.
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