Each week, the Valens Credit team highlights our most interesting insights from across our tools and our analysis. This week’s interesting insights include:
Credit and Market Mispricings
Quantitative Credit Outlier Report Review
X top our quantitative outlier report this week.
Aggregate Credit Market and Credit Fundamental Review
IG markets are currently fairly valued, as are HY markets. However, even after XO CDS has normalized in the last several months, it remains substantially above XO iCDS levels. This indicates that the XO market is overstating credit risk.