If you're looking for more color on the action in subprime
mortgage bonds this week, check out this Bloomberg story
. It points out that subprime
mortgage bond derivatives are having their worst week of 2006. Specifically, "credit default swaps based on an index of bonds rated BBB- and consisting of sub-prime mortgages made this year fell 2.3%, to 95.50 today, according to Deutsche
Bank AG ... DB calculates that the annual cost to protect against default on $10 million of 2006 BBB- mortgage bonds is up to $380,000 from $310,000."
There are lots of other stats in there worth chewing over, too, if you feel so inclined to read.