http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/http://www.fxstreet.com/fundamental/http://mediaserver.fxstreet.com/images/fxstreet-provider-logo1-en.gif7http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-11-06.htmlSummary  CDS indices remain range bound CIT files for chapter 11 RBS forced to sell off assets Lloyds announces debt exchange offer and rights issue Headlines from the credit market this week  Banks are back in the headlines following CIT’s filing for chapter 11 as well as the restructuring plans by RBS and Lloyds (more on all three topics below). Nonetheless, both the senior financial CDS index as well as iTraxx Europe remain largely unchanged from last week. Currently, iTraxxFri, 06 Nov 2009 13:28:52 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-11-06.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-10-30.htmlSummary High spread volatility on the back of mixed economic news from the US Abating activity in the primary market European lending standards are no longer tightened aggressively ING forced to split up group Headlines from the credit market this week CDS indices have been volatile during the week on the back of mixed economic news. Highly disappointing US consumer confidence data in the beginning of the week caused a significant spread widening. On Thursday, however, the moodFri, 30 Oct 2009 18:24:21 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-10-30.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-10-23.htmlSummary The trend continues as spreads go gradually tighter Limited activity in the primary market Latvian prime minister backtracks on non-recursive loans Headlines from the credit market this week The strong trend we have seen recently in the credit market continues with both cash and CDS spreads going tighter. The US (and global) reporting season is in full swing and to date almost half of the companies have reported. Generally, the cost-cutting measures companies have embarked upon duringFri, 23 Oct 2009 10:49:05 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-10-23.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-10-02.htmlSummary Spreads are moving wider Macroeconomic disturbances hurt markets Global financial stability report from IMF Headlines from the credit market this week CDS indices have widened considerably compared with last week. iTraxx Europe investment grade rose 13bp to 97bp while the high yield index has risen 30bp and now trades around 605bp. Following several strong months with macroeconomic surprises mainly on the upside, this week disturbance in the macro space was prevailing. After eightFri, 02 Oct 2009 12:32:20 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-10-02.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-25.htmlSummary Spreads are slightly tighter in an uneventful week Rights issue from DnB NOR and hybrid issuance from SEB Headlines from the credit market this week CDS indices have moved tighter compared with last week (if taking into consideration the roll of the indices on Monday which took XO index up by approximately 80bp). The new series 12 indices trade at 84bp and 575bp for investment grade and high yield respectively (the old XO series 11 currently trades at 490bp). In the primary market, theFri, 25 Sep 2009 09:40:32 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-25.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-18.htmlSummary Spreads are largely unchanged from last week Primary market activity remains high Latvia’s parliament has voted against further taxation, rejecting part of its agreement with the EU and IMF Swedbank has announced a buyback of subordinated debt iTraxx indices will roll on Monday Headlines from the credit market this week CDS spreads are largely unchanged from last week. The investment grade CDS index, iTraxx Europe currently trades at 86bp and the high yield index, iTraxx Crossover, atFri, 18 Sep 2009 12:21:01 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-18.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-11.htmlSummary Spreads have tightened considerably during the week Primary market on fire with extraordinarily high issuance activity G20 meeting provides hints on future bank regulation Moody’s downgrades Nordic banks Calculation of Swedish stability fees have changed Headlines from the credit market this week CDS spreads are tighter following a general positive sentiment in the financial markets during the week. The investment grade CDS index, iTraxx Europe, currently trades at 85bp whereas theFri, 11 Sep 2009 10:16:55 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-11.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-04.htmlSummary CDS spreads have moved wider following bumpy equity markets Santander did not call a LT2 bond – presumably unintentionally RBS was not allowed to call its Tier 2 bonds by UK FSA Headlines from the credit market this week Following a sell-off in the stock market, CDS spreads have moved somewhat wider during the week. The investment grade CDS index, iTraxx Europe currently trades at 98bp whereas the high yield index, iTraxx Crossover, trades at 620bp. The cash market is holding up wellFri, 04 Sep 2009 10:09:29 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-09-04.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-08-21.htmlSummary Signs of weakness in the credit market during the week with spreads moving wider Fitch downgrades hybrid debt from a number of banks that have received Government support Senior Loan Officer survey from Fed continues to show tight lending standards Headlines from the credit market this week After last weeks’ disappointing US retail sales equities as well as credit had a weak spell in the beginning of the week. While equity markets have regained the lost ground in the last few days,Fri, 21 Aug 2009 13:44:55 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-08-21.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-08-07.htmlSummary Spreads have moved sideways during an eventless week S&P downgrades UK LT2 debt Headlines from the credit market this week It has been a quiet week in the credit market with CDS spreads largely unchanged from last week. The investment grade index, iTraxx Europe, trades at 92bp whereas the high yield index, iTraxx Crossover, trades 610bp. Crossover has outperformed iTraxx Europe slightly during the week. There have been a couple of new issues during the week including Pohjola BankFri, 07 Aug 2009 13:55:45 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-08-07.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-07-31.htmlSummary Spreads continue to move tighter on the back of encouraging signs from the US housing market Latvia reaches agreement with IMF staff on loan Eurozone lending standards not being tightened as aggressively as previously Headlines from the credit market this week During the week there were more signs out of the US that the housing market is moving towards a stabilisation. New home sales were better than expected and the Case-Shiller index showed signs of bottoming out. A stabilisation ofFri, 31 Jul 2009 10:07:58 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-07-31.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-07-24.htmlAnother week of significant spread tightening Moody’s set to downgrade a large number of Nordic banks Headlines from the credit market this week The tone in the financial markets continues to be very positive and consequently VIX is lower, spreads are tighter and equities are up. The most noteworthy event during the week was the biannual testimony by Ben Bernanke to the US congress and, although he noted that significant challenges remain for the US economy, markets eventually reactedFri, 24 Jul 2009 10:34:05 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-07-24.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-07-17.htmlSummary Credit has enjoyed a fine spell along with improved sentiment in the equity market. Much better than expected numbers from Goldman Sachs and JP Morgan. However, US bank CIT is in severe difficulties. Moody’s maintains negative view on the Danish banking system. Headlines from the credit market this week Generally, sentiment in the financial markets has been rather positive during the week and consequently credit spreads have tightened. The investment grade index, iTraxx Europe, hasFri, 17 Jul 2009 13:23:36 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-07-17.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-06-19.htmlSummary CDS spreads are wider following higher risk aversion The Obama administration has put forward a new proposal for regulating the US financial sector In Denmark, Fionia Bank Holding has conceded that all equity capital is lost. The healthy part of the bank is expected to be sold. Headlines from the credit market this week A sense of weakness seems to have crept into the credit market recently and in the Nordic region it is once again the Baltic exposures of the banks that grabs theFri, 19 Jun 2009 08:39:37 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-06-19.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-06-12.htmlSummary It has been a relatively quiet week in the credit market and spreads are largely unchanged. The Swedish FSA published a stress test of Swedish banks that indicated that the banks can withstand the economic crisis in the Baltics Headlines from the credit market this week In spite of a good equity rally, CDS indices are virtually unchanged compared to last week. The investment grade index, iTraxx Europe, currently trades at 108 basis points, which is on a par with last week. The highFri, 12 Jun 2009 13:51:08 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-06-12.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-06-04.htmlSummary The rally is back and spreads have moved substantially tighter GM filed for chapter 11 – muted reaction in the credit market In Denmark and Sweden the central banks have published their biannual stability reports Headlines from the credit market this week CDS indices are tighter compared with last week. The investment grade index, iTraxx Europe, currently trades at 107bp compared with 122bp last week, while the high yield index, iTraxx Crossover, trades at 680bp down from 727bp.Thu, 04 Jun 2009 13:20:43 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-06-04.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-29.htmlSummary CDS indices have moved sideways while cash bonds continue to perform In the EUR market we have seen the first non-investment grade benchmark issuance We move from overweight to neutral on credit following the strong rally we have seen in the last few months Headlines from the credit market this week CDS indices are more or less unchanged compared to last week. The investment grade index, iTraxx Europe, currently trades at 122bp compared to 123bp last week, while the high yield index,Fri, 29 May 2009 14:09:45 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-29.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-20.htmlSummary The strong sentiment has returned and spreads are moving tighter Primary market activity continues to be immense and new issues perform We have initiated coverage of Danish utility company DONG Energy Headlines from the credit market this week The rally is back in the credit market, fired on by continued high activity and strong performance in the primary market. The investment grade index, iTraxx Europe, currently trades at 123bp down from 133bp on Friday, while the high yield index,Wed, 20 May 2009 12:23:46 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-20.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-15.htmlSummary Following a strong period the credit market is currently taking a breather LT2 primary market reopened by Rabobank In the primary market the high yield name Stora Enso came to the market Headlines from the credit market this week The strong rally we have witnessed lately came to a stop this week and currently it seems that the credit market is taking a breather. The investment grade index, iTraxx Europe, has widened by some 13bp since Friday and is currently trading around 133bp, whileFri, 15 May 2009 10:20:48 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-15.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-07.htmlSummary Exceptionally strong performance in the credit market during the week Primary market activity exceptionally high FED senior loan officer survey suggests that the tightening in lending standards is decelerating Detailed results of US stress test to be published later today Headlines from the credit market this week It seems that the financial markets believe that we are driving out of woods at full speed. The strong rally in credit markets we saw last week has accelerated this week andThu, 07 May 2009 15:04:58 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-07.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-01.htmlSummary It has been a strong week in the credit market with spreads moving substantially tighter. The result of the US banking sector stress test has been postponed until the end of next week. ECB bank lending survey suggests that the tightening in lending standards is decelerating. Headlines from the credit market this week The good feeling in the financial markets continued this week and CDS indices have moved substantially tighter. The investment grade index, iTraxx Europe, has tightened byFri, 01 May 2009 10:58:03 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-05-01.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-04-24.htmlSummary Credit spreads have moved wider during the week Q1 earnings are a mixed bag so far IMF remains concerned about financial stability Headlines from the credit market this week This week has provided us with further earnings from the larger financials. Market participants seem to be putting more weight on the balance sheet values than the income statements – the quality of the former is still a huge question mark, while the latter was generally better than expectations. Cash bonds areFri, 24 Apr 2009 13:22:16 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-04-24.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-04-17.htmlSummary Credit spreads have moved substantially tighter Continued high primary market activity Lending survey from Danish Central Bank suggests an ugly Q1 for Danish banks in terms of losses The small Danish bank, Gudme Raaschou, has failed and is now being taken over by the state-owned winding-up company Headlines from the credit market this week Generally positive signals from US banks spurred a rally in both equities and credit during the week. Cash bonds are currently very well bid andFri, 17 Apr 2009 09:46:56 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-04-17.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-04-03.htmlFollowing some good weeks, the indices turned sour again with increases in both iTraxx Main and Crossover. The G20 summit is ongoing and the global leaders are heading for more regulation of the financial sector. Furthermore, IMF will be given further resources (rescue funds will be tripled). In Sweden, the government extended its guarantee scheme. The G20 summit this week is drawing a lot of attention. The first outcome seems to be more regulation for the financial sector and more funds toFri, 03 Apr 2009 15:20:42 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-04-03.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-27.htmlCDS indices are tighter due to indices having their biannual rolls and not because of any significant relief in the market. The ECB has indicated that it might start buying corporate bonds in the secondary market. If this proves to be the case, it could be very positive for cash bonds. Finally, primary market activity continues to be high. Due to the iTraxx indices rolling last Friday, the price on the new on-the-run index cannot be compared to the old one as a number of names have beenFri, 27 Mar 2009 10:07:16 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-27.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-20.htmlThe announcement by the Fed that it will start buying US treasuries was the main surprise during the week. Still, spreads are almost unchanged from last week although senior financials have outperformed. Activity in the primary market has been very strong. On another note, the Norwegian government has presented its plans for buying corporate bonds. The all-important event this week was the surprise move by the Fed to initiate on buying US Treasuries. The Fed will buy up to USD300bn ofFri, 20 Mar 2009 11:55:41 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-20.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-13.htmlCredit did better this week after a heavy widening of spreads last week, mainly driven by statements about a strong start to 2009 from some large global banks. Do not overestimate this, as seasonality may be the reason – but hopefully not. On a different note, the iTraxx indices will have their bi-annual rolls next Friday. After the poor stock and credit market performance last week, this week has seen some improvement – primarily in the equity market. Banks in particular have ralliedFri, 13 Mar 2009 15:00:14 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-13.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-06.htmlIt has been a relatively quiet week, but quiet isn’t necessarily good. Indeed, spreads have been drifting wider all week driven by the financial sector, especially insurance. The major events this week were the poor results from French insurer Aviva, and the rate cut at ECB. No real ray of light so far in the credit markets. All indices have widened during the week despite the lack of fundamental news in the credit markets. Financial indices blew up driven by last week’s subordinated debtFri, 06 Mar 2009 11:58:20 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-03-06.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-27.htmlIt has been a tough week for credit although spreads eventually tightened towards the end of the week. The primary market is starting to look a little shaky. The major events this week were the results from RBS, the amendments of the LT2 bond documentation for Bradford & Bingley and finally the announcement of principal writedowns of Dresdner Bank Tier 1. The credit market has looked rather shaky during the week with indices being highly volatile. Especially the financial indices have beenFri, 27 Feb 2009 11:23:40 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-27.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-20.htmlConcerns have grown that the Central and East European countries are facing major difficulties, which could have significant spill-over effects to West European banks. Banks have therefore been under pressure and CDS indices are significantly wider. In the US, the Obama administration presented a support plan for the US housing market. During the week all eyes moved towards East as concerns are growing on the economic outlook for Central and Eastern Europe. A meltdown in Eastern Europe wouldFri, 20 Feb 2009 11:58:22 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-20.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-13.htmlThe presentation of the US financial stability plan has been the central topic this week. So far the plan has disappointed the market as it lacks detail. Credit indices are largely unchanged from last week and primary market activity continues to be high. In Norway, a second credit package was presented targeting a (voluntary) recapitalisation of banks. The overriding themes in the credit market remain the same as in previous weeks: relatively stable CDS spreads, tighter secondary cashFri, 13 Feb 2009 15:46:01 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-13.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-06.htmlIt has been a relatively quiet week in the credit market. CDS indices are largely unchanged. The Senior Loan Officer Survey from the Fed suggests a light at the end of the tunnel in terms of lending standards. In Sweden, more details have been provided on conditions for the recapitalisation of banks. Finally, Banco Sabadell has decided not to call a LT2 bond. CDS indices have remained more or less unchanged during the week and volatility has been smaller than what we otherwise have grown usedFri, 06 Feb 2009 11:31:55 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-02-06.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-30.htmlCredit spreads have moved tighter despite heavy new issuance. In our view, this is a reflection that the pressure from forced sellers is diminishing. In the US, talks are ongoing about the creation of a bad bank, which could relieve banks from some of their troubled assets. Dutch bank ING has reported heavy losses on Alt-A mortgages and we suspect that more banks will follow. In Sweden the bank guarantee programme has been amended slightly. Despite a continuing headwind for the macro economy,Fri, 30 Jan 2009 15:25:24 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-30.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-23.htmlIt has been a volatile week for bank stocks and subordinated bank capital. Still, CDS indices have held up reasonably well and primary market activity continues to be high. In Denmark, a second credit package for banks was launched targeting a recapitalisation of the sector. On another note, the Bank of England has been authorised to buy corporate bonds directly in the secondary or primary market. Banks’ share prices have been exceptionally volatile during the week, adding to their woes andFri, 23 Jan 2009 11:01:15 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-23.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-16.htmlThe strong start to 2009 ended abruptly with the news that Bank of America has received help from the US Government in the form of a capital injection. In Europe, Anglo Irish Bank was nationalised after the funding situation of the bank deteriorated. Credit indices are a bit wider, although not as much as the poor newsflow would indicate. The primary market is still flooded with new issuance, but so far the market is able to absorb it. The strong opening to 2009 in the beginning of January wasFri, 16 Jan 2009 13:27:49 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-16.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-09.htmlThe credit market has opened strongly in 2009 with CDS indices moving significantly tighter. As expected, the primary market has been flooded with new issues and so far these have been massively oversubscribed, which is positive. In Denmark the negotiations on a new bank package have commenced but no details have been disclosed to the public yet. The credit market has enjoyed a strong opening to 2009 with a significant spread tightening. CDS indices have tightened markedly and currently, theFri, 09 Jan 2009 11:36:39 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2009-01-09.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-12-19.htmlA dramatic 2008 will soon be history, and this week proved to be no exception to a frantic year as we saw some extraordinary events. We had the largest fraud scandal ever in financial markets. Then we had the Federal Reserve lower its key interest rate to 0-0.25%. Finally, on Wednesday Deutsche Bank dropped a ‘debt market bomb’ by announcing that it would not call a LT2 bond. Eventually we are here: The last weekly credit update of an inconceivable 2008! And what better way to mark this thanFri, 19 Dec 2008 10:45:47 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-12-19.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-12-12.htmlThe week started on a positive note after Barack Obama presented plans for a massive fiscal stimulus in the US. However, spreads widened considerably after the US Senate rejected a help package for the US automakers on Thursday. In the primary market non-state guaranteed bonds from banks have been issued for the first time in a while. In Denmark the discussions on a second bank package are intensifying. The next bailout dilemma has hit the US lawmakers and it resembles the dynamics of theFri, 12 Dec 2008 10:51:23 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-12-12.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-12-05.htmlCDS indices have reached the widest levels in history despite a sharp lowering of interest rates from a number of European central banks. Unwinding of structured credit is probably at fault for some of the widening. The high activity in the primary market has continued but there are clear signs that the market is finding it increasingly difficult to digest the new issuance. Finally, the US auto makers are once again pleading for cash. Credit indices have widened significantly over the week andFri, 05 Dec 2008 13:46:21 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-12-05.htmlhttp://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-11-28.htmlThe support package from the US Government to Citigroup kicked off the week in style. A further positive swing in market sentiment took place after the Fed announced initiatives to support consumer credit. Consequently, CDS indices performed well, and the high activity in the primary market continued. Finally, Moody’s published a report in which they put the Danish banking system as a whole on negative outlook. Another week, another abbreviation it seems. This time it was the ‘TALF’, or theFri, 28 Nov 2008 13:12:05 GMThttp://www.fxstreet.com/fundamental/analysis-reports/danskeresearch@danskebank.com (Danske Bank A/S)http://www.fxstreet.com/fundamental/analysis-reports/weekly-credit-strategy-update/2008-11-28.html