For commodity traders operating in the Information Age, Bloomberg reports that just good old trading doesn’t cut it anymore... "Everything is transparent, everybody knows everything and has access to information."
Once Asia's largest commodity trader, Noble Group has been halted after crashing almost 30% this morning following S&P lowering its corporate credit rist rating to CCC+, citing continuing weak cash flows and profitability...
"We downgraded Noble because we believe the company's capital structure is not sustainable,"
"The negative outlook on Noble reflects the potential that the company will face distress and a non-payment of its debt obligations over the next 12 months,"
China's $1.7 trillion government-bond market is turning curiouser and curiouser...
In a fresh sign of the nerves among investors caused by Beijing's campaign this spring to make Chinese markets less risky, the yield on seven-year government bonds rose to 3.79% on Monday, above the yield on both five-year and 10-year bonds.
Nothing says "go all in" on Brazilian stocks like the one of the biggest equity market drops on record following yet another political crisis... and that's just what investors did.
Second only to the collapse surrounding Lehman's branruptcy, EWZ (the Brazil ETF) crashed over 16% last week (before rebounding)...
Stop us if you've heard this story before.
Insolvent Greece, having last week voted itself into even more austerity in hopes of unlocking some of the money promised it by Brussels so it can then use it to repay debt maturities owed to the ECB (whether it will actually follow through with said austerity measures remains unclear, though most likely not), is dragged to the finish line of yet another Euro finance minister negotiating session with promises that this time a debt relief deal is virtually guaranteed, and then... it all falls apart.