While most eyes are on the highly leveraged European countries, especially Spain over the past week, back here in the US, Illinois today is close to passing California as the most troubled municipal credit in the country as measured solely by their 5 yr CDS. Illinois 5 yr CDS is up 4 bps today to 295 bps, a record high and up 70 bps in just the past two weeks. California is trading at 299 bps, higher by 2 bps on the day and up about 50 bps in the past two weeks. It does though remain well off its record high of 460 bps back in Dec ’08. Both municipalities are closing in on Bulgaria at 320 bps, Croatia at 300 bps, Hungary at 318 bps, and Lebanon and Portugal both at 310 bps.
Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.