Portugal CDS Blow Out As Budget Gets Blocked

While the recent focus of European sovereign worry has been Ireland, the pressure on Portugal is increasing.

Portugal’s budget has just been blocked in parliament, slowing the process of enacting austerity measures.

CDS on the country’s debt has widened by 8%.

Notably, Portuguese Telecom CDS is lower priced than the sovereign. Portuguese Telecom also has business operations in Brazil and Africa.

From CMA Datavision:

Portugal CDS 924

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