Jan
06
Sydney Home Price Slump Not Deterring Aussie Bank Bond Investors
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The cost of insuring the debt of Australia’s banks has fallen
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Banks’ CDS at lowest levels versus the benchmark in six years
Investors in Australian bank bonds aren’t showing any signs of panic after Sydney home prices fell the most in four years.
The average cost of protecting debt from Commonwealth Bank of Australia, Westpac Banking Corp., National Australia Bank Ltd. and Australia & New Zealand Banking Group Ltd. fell to 80.5 basis points on Tuesday from as much as 101 in October, and the lenders are among the best performers in the iTraxx Australia index over the past three months. Their credit-default swap prices are near the lowest in six years versus the local benchmark…
Sydney Home Price Slump Not Deterring Aussie Bank Bond Investors
