credit default swap

British  

noun

1.  CDS.  finance a contract in which the parties exchange the exposure to loss should a creditor fail to make a payment when it comes due back

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Example Sentences

Intesa Sanpaolo’s credit default swap spreads climb 1 basis point to 35bps, S&P Global Market Intelligence data show.

From The Wall Street Journal

Switching to the broader market, Evercore will be keeping an eye on evidence of stress in credit, which may be shown by five-year investment grade and high yield credit default swap indices widening beyond 57 and 350 respectively.

From MarketWatch

In recent weeks, the spread on Oracle’s five-year credit-default swaps has sharply deviated from the broader investment-grade Credit Default Swap Index, rising from 60 basis points at the end of October to a high of 128 basis points last week.

From MarketWatch

The trend had relaxed in December, but Oracle credit default swap prices began rising again after the earnings release.

From Barron's

The concern has been especially apparent in Oracle’s credit default swaps, as the cost of insurance on Oracle’s bonds has sharply diverged from the broader investment-grade Credit Default Swap Index in recent weeks.

From MarketWatch