Comments on: Money Market Rates Again Show Only Slight Improvement

By: wintermute

wintermute — Thu, 16 Oct 2008 17:27:00 +0000

Oct 21 for the Lehman CDS settlement does not look too hot either..

By: mxq

mxq — Thu, 16 Oct 2008 17:22:00 +0000

Oct 27th is looking more and more like D-day for short-term credit markets.

By: FairEconomist

FairEconomist — Thu, 16 Oct 2008 15:49:00 +0000

There has got to be massive bank deposit unlevering at this point. The banks need to print huge amounts of currency to go in people’s mattresses. They can soak it back up when people start depositing again. I know lots of people who are keeping more cash around the house.

By: Terminal

Terminal — Thu, 16 Oct 2008 13:37:00 +0000

There is an error in the Bloomberg article.
While it is true that the 3Month dollar Libor – OIS spread today is about 340 ( actually 341.75 ), yesterday it was 334.25.
Consequently this spread actually widened overnight by 7.5.
By varying amounts , so did the Libor – OIS spreads for the Euro and Sterling as well.