Europe resumes rally in US absence with Italian spreads hitting new records
Caution about a possible Draghi bubble looks to be a rare commodity, as Italy sovereign and bank spreads are once again among the biggest improvers in a buoyant start to the week

It's all relative: CLO spreads explore record tights as credit indices hit impasse
CLO spreads are grinding to ever tighter levels, despite a flattish week for credit in which corporate credit indices have ended up more or less unchanged

It's all relative: CLOs are lagging no more, as Carlyle deal drags market tighter
“CLOs are lagging” has been a much repeated refrain over the last nine months. But Carlyle Group has this week produced a US CLO that has dragged spreads to their tightest point in three years so that, rather than comparing CLOs to pre-covid levels, they should be assessed against early 2018

No CDS auction for Scandinavian Airlines 'soft' credit event, rules DC
A credit event auction will not take place for Scandinavian Airlines System Denmark–Norway–Sweden CDS contracts, despite the company triggered a restructuring credit event last month, the EMEA Determinations Committee has ruled

High yield outperformance to bring compression trade back into play: Citi
High yield underperformance versus investment grade is expected to reverse following the US presidential election, according to a strategy note from Citi. The bank’s strategists have been advocating compression trades since July and feel that there is more room for this to run citing election trends, exposure to coronavirus credits, expected default rates and credit ratings

Credit fundraising: Dubai manager gets in on the act as direct lending takes off
Shuaa launches credit fund in the Gulf as Ares, Contingency, HPS and Perceptive are among those to close billion-plus funds

Squarepoint adds former bank credit trading head in London
Squarepoint Capital, a cross-asset fund manager that uses systematic and quantitative strategies, has hired a former global credit trading head at Societe Generale to lead fixed income, currencies and commodities alpha capture

Scandinavian Airlines System triggers restructuring credit event
Scandinavian Airlines System Denmark–Norway–Sweden has triggered a restructuring credit event as a result of its recent recapitalisation, the Emea Determinations Committee has ruled

Green credit advocate launches research body
Stockholm-based portfolio manager and green credit advocate Ulf Erlandsson has today announced the launch of research body Anthropocene Fixed Income Institute (AFII)

Brevan Howard raids ExodusPoint for credit derivative specialists
Brevan Howard has hired credit derivative specialists from ExodusPoint Capital Management with a view to expanding in credit options

Palm Lane launches credit relative value fund with $200 million after PM hires
Palm Lane Capital has raised about $200 million for a global credit relative value hedge fund, which went live on 1 September

Credit event auctions mount as European resistance breaks
Two constituent defaults in iTraxx Crossover — the first to hit the European on-the-run index in almost two years — have made 2020 the second busiest year ever for credit event auctions

Hema and Matalan auctions set as DC ponders Ensco credit event
Dates have been set for credit event auctions to settle two constituent defaults in iTraxx Crossover — the first to hit the European on-the-run index in almost two years

Wirecard CDS auction set to have two deliverables
Two notes look set to be deliverable into an auction to settle Wirecard CDS, according to an initial list published by the EMEA Determinations Committee

CLOs on lookout as Neiman recovery signals slump and DC confirms credit event
Five-year CDS referencing Neiman Marcus widened by four points to 95.25 points up front, according to IHS Markit, as the Americas Determinations Committee confirmed the US retailer has triggered a bankruptcy credit event

Frontier bankruptcy dials up pressure for 90 CLOs
Nine CLO managers hold $217 million of Frontier Communications’ debt across 90 CLOs, as the telecommunications company filed for Chapter 11 protection in the US Bankruptcy Court Southern District of New York

Former JP Morgan credit prop trader relaunches credit hedge fund
Palm Lane Partners is relaunching – two years after the credit hedge fund manager looked to spin out of JP Morgan Asset Management

Silver lining: credit investors provided with lower entry points than Q4 2018
Oil shocks and the coronavirus outbreak, along with aftermath effects such as US Federal Reserve interventions and lockdowns, is providing credit investors with lower entry points than the Q4 2018 sell-off, say sources. Furthermore, an expected U-shaped rather than V-shaped recovery could provide a greater money multiple for opportunistic investments - if they can access them 

Credit hits new wides as US and Europe ramp up coronavirus battle plans
An emergency weekend rate cut by the US Federal Reserve as well as population lockdowns in France and Spain underscore that measures of economic risk have moved to a more systemic level as world governments scramble to deal with the impact of the coronavirus outbreak

Credit traders’ kickstand: a year comes undone in a week as world faces coronavirus moment of truth
As the coronavirus outbreak reaches a 'decisive point', according to the World Health Organisation, one of most volatile weeks in recent memory has hauled credit spreads from their post-financial crisis tights to much wider levels last seen in the first half of 2019 and, in the case of emerging markets, more than a year ago.

McClatchy bankruptcy adds to slew of US media credit events
The McClatchy Company, a media sector constituent of CDS index CDX HY, has triggered a bankruptcy credit event, the Americas Determinations Committee has ruled

Italian financials put Europe's best foot forward as US outperforms
Financial credits are once again leading the way as the market continues this week’s sharp return rally

Jefferies shelves structured synthetic plans as key man departs
Jefferies has put on ice its plans to build out a synthetic CDO origination, structuring and trading unit, having parted ways with the veteran specialist tasked with driving the venture

CIFC pushes into US high yield with three senior hires from Millennium
CIFC Asset Management is expanding its high yield investment business and has hired three officials from Millenium Management  

Change at top for Citi correlation trading as head assumes chief risk officer job
A long-serving managing director at Citi has taken sole charge of correlation trading, after the previous head of credit correlation moved to a newly created role