Crossover converges on CDX HY as Fed, earnings and heavy technicals take hold
Big moves of single name credits continue to hold sway over the iTraxx Europe Crossover credit default swap index, whose underperformance of US counterpart CDX HY has extended during the past week amid a big technical repositioning of flows

CLO managers on alert as five credits drive Crossover index rout
Five constituents of iTraxx Crossover have hit big bumps this week, fuelling a noticeable underperformance of the European credit default swap index against its US counterpart yesterday in a reversal of the recent trend

Credit sell-off has room to run and pricing is out of whack, says BNP Paribas
The credit market sell-off could have further to go despite recent widening and is “in the process of a late-stage business cycle unwind”, according to a strategist note seen by Creditflux

10 bidders line up for Astaldi CDS auction as Morgan Stanley swaps in for Mizuho
There will be 10 participating bidders to an auction to settle Astaldi credit default swaps, with the Determinations Committee unanimously approving Morgan Stanley’s involvement as Mizuho dropped out

Astaldi credit event auction deadline looms for participating bidders
Firms wishing to take part next week in a credit event auction to settle Astaldi credit default swaps have until 5pm London time today (23 November) to submit participating bidder letters to the Determinations Committee

European CDS index tightens inside US even as bonds languish
Credit derivatives markets have hit a key point of trend reversal this week, with the iTraxx Europe five-year CDS index trading inside its US counterpart CDX IG for the first time since May

Ex-Citi CDO trading chief joins Jefferies as head of European fixed income
Jefferies has appointed a former Citi European credit and pre-crisis CDO trading head to lead its European fixed income business

Astaldi CDS holders face Thursday deadline on auction deliverables
Market participants with exposure to Astaldi have until 5pm London time tomorrow (8 November) to submit any other potential deliverable obligations into the auction to settle the company’s credit default swaps

Sears CDS auction deliverables rejected due to lack of docs and identifiers, says DC
An auction to settle credit default swaps referencing Sears Roebuck Acceptance Corp did not include several obligations on its initial list of deliverables due to lack of documentation or isin/cusip identifiers, the Americas Credit Derivatives Determinations Committee has said

Seven deliverables valid for Sears CDS auction, as seven others split DC panel
There will be seven obligations deliverable into an auction on 14 November to settle credit default swaps referencing Sears Roebuck Acceptance Corp, the Americas Credit Derivatives Determinations Committee has decided. But members of the 15-strong DC were split over whether to include another seven potential deliverables that did not make the cut

Fixed income heads join forces to launch macro credit fund manager in London
Resco Asset Management, a new asset manager based in London, has launched and set about marketing its debut fund: Resco Macro Credit Fund

Pimco generates listed opportunistic energy credit fund
Pimco is eyeing the energy sector for a new opportunistic credit fund, according to US regulatory filings.

Supermarket scramble as SuperValu CDS surges wider on UNFI buy-out
The spread of five-year credit default swaps referencing SuperValu, a CDX HY index constituent, more than doubled yesterday, according to IHS Markit data

Sears CDS deliverables to be decided Friday ahead of 14 November credit event auction
The Americas Credit Derivatives Determinations Committee will meet this Friday (26 October) to decide auction terms and deliverable obligations for credit default swaps referencing Sears Roebuck Acceptance Corp

Astaldi credit event auction will have two deliverables, says DC
Only two Astaldi bonds are deliverable into an auction to determine the final price of its credit default swaps, the Determinations Committee has indicated

Market rout drives US/Europe credit convergence, as Brazil leads Latin widening
Credit spreads have sharply widened globally as financial markets are being rocked by concerns for a trade war and rising US rates. An equity-led rout in the US yesterday afternoon

Man Numeric launches credit platform and appoints co-heads of credit
Man Numeric, the quantitative investment business of Man Group, has launched a new credit unit and appointed two officials to lead the business

Correlation strengthening between company ESG factors and CDS spreads, says Hermes
There is a “significant correlation” between companies that have stronger environmental, social and governance (ESG) practices also benefitting from tighter credit default swap spreads, according to research from Hermes Investment Management

Astaldi triggers first credit event in iTraxx on-the-run indices for nine years
Astaldi has triggered a bankruptcy credit event, the Isda-hosted EMEA Credit Determinations Committee has ruled

Astaldi credit event question hangs in balance as EMEA DC meets
The fate of credit default swap contracts referencing Astaldi could be decided today, with the Isda-hosted EMEA Credit Determinations Committee meeting to decide if the Italian builder has triggered a bankruptcy credit event

Astaldi credit event question posed as its distress weighs on iTraxx Crossover
Astaldi, a constituent of iTraxx Crossover, has been referred to ISDA-hosted Credit Determinations Committees as a possible bankruptcy credit event – less than two weeks after the index rolled into a new series

Lord Abbett markets new credit interval fund
The asset manager becomes the latest to join the interval fund rush 

Tesla CDS hits big bump on largely self-driven woes
Tesla Motors’ five-year credit default swap is at a widest-ever print of 21.3/23.3 points up front going into the week

BlackRock becomes latest manager to explore interval fund structure for credit
Several managers have hit the market with the interval fund structure, as investors look to invest in illiquid strategies through an illiquid fund structure

American Beacon teams up with Apollo for credit interval fund
Regulatory filings reveal that Apollo will allocate assets across four main areas: US corporate credit, global corporate credit, structured credit and real estate credit