European corporate credit default swap spreads were slightly tighter on Friday, although the tone was slightly nervous ahead of US non-farm payrolls data. By 0642 GMT, the investment-grade Markit iTraxx Europe index was at 103 basis points, according to data from Markit. That is 0.5 basis points tighter versus late on Thursday, according to data from BGC Partners.
The Markit iTraxx Crossover index, made up of 50 mostly "junk"-rated credits, was at 474.25 basis points, 2.75 basis points tighter. The payrolls report, due at 1230 GMT, is expected to show the US economy added no jobs in September. "With September CPI data due on Friday next week and the payrolls number today we will probably have a much better idea of the probability of further QE by the end of next week," said Gary Jenkins, head of fixed-income at Evolution Securities.
Comments
Comments are closed.