Markit reports CDS on Irish sovereign debt is now at 425 bps, that’s a 38 bps increase.
All of this goes back to yesterday’s Barclays report on the state of the Irish economy and the country’s bank bailout.
Anglo Irish Bank continues to represent a growing portion of the banking bailout for Ireland. The threat of default was thought to have diminished after last week’s announcement that the bank would be split in two.
But it hasn’t stopped investors from worrying about a default and the impact that might have on the Irish state.