Monday, December 22, 2008

30 Year Swaps Flat to Treasuries

We've detailed the odd occurrence a few times at EconomPic of the 30 Year Swap trading through Treasuries (implies that banks can borrow at a lower rate than the U.S. government). This has whipped back over the past few weeks and today has traded a 0 bps to Treasuries.

I won't declare victory in credit markets just yet, but it is a good sign.