Credit spread snap-back catches out shorts
Credit markets, along with stocks, saw an unexpected snap back today that caught out many participants, say traders

Listed credit fund reports sharp rise in mid-market loan defaults
A listed permanent capital vehicle, said that 4.8% of its portfolio of mainly middle market corporate loans were impaired at the end of last year

Dealers to drop LevX sub and 25 names from senior
Dealers have voted against rolling the LevX Subordinated index into a fourth series on 20 March

CLO equity floods the market as manager liquidates fund
An auction of 23 CLO equity positions due this Friday is understood to result from the liquidation of one of the biggest CLO equity funds

Loan traders split on LCDX tranches
Loan credit default swap dealers are split on the best way to quote and trade tranches on the LCDX index

Traders rush to put on basis trades
Traders rush to put on basis trades

Distressed buyers make gains on financial bonds
Distressed buyers make gains on financial bonds

Telecoms and retail dominate defaults
The total defaulted debt in February was nearly $21.3 billion. This compares to January's total of $14 billion after the defaults of Qimonda, Smurfit-Stone and Contech late in the month. So far in 2009, telecoms and retail have seen the largest total defaults. At the time of going to press, the largest default in February was that of retailer Spectrum Brands, which filed for chapter 11 on 3 February, with $4.4 billion outstanding.

Borrowers pay rising price for covenant waivers
Borrowers pay rising price for covenant waivers

Appetite remains strong for corporate bonds
Appetite remains strong for corporate bonds

Managers: Keeping off the leading edge
Managers: Keeping off the leading edge

Dealers settle Smurfit-Stone CDS and LCDS
Dealers took part in a credit event auction to settle credit default swaps and LCDS referencing Smurfit-Stone Consolidated enterprises

Recent CLO list attracts heavy bidding
Numerous portfolio managers and traders say that last Thursday's (12 February) CLO bid list, mostly of single A positions, had broad participation

Loan prices point to catastrophic recoveries for LCDS name
Term loans of a US bankruptcy company are trading as low as 4/6 points

US packaging company pursues protection from Merrill
On Wednesday, 11 February, US packaging company Pliant announced that it would file a voluntary petition under chapter 11 in order to eliminate all of its high-yield debt, totaling $674 million.

Moody’s downgrade fears weigh on CLO bid list
Coinciding with the return of 4,000 structured finance professionals from the ASF conference, bids were due yesterday on a b-wic of nine CLOs ranging from double A to double B and one CDO of ABS