Sunday, May 20, 2007

Credit-Default Swaps Spur Fastest Derivatives Market Growth in Nine Years

(Bloomberg) -- The global derivatives market grew at
the fastest pace in at least nine years during 2006 as the amount
of contracts based on bonds more than doubled to $29 trillion,
the Bank for International Settlements said today.

Derivatives covering bonds and loans rose by $15 trillion
last year, the Basel, Switzerland-based bank said on its Web
site. The total amount of over-the-counter contracts whose value
is derived from price changes of bonds, currencies, commodities
and stocks, or events like interest rates or the weather rose
39.5 percent to $415 trillion, the biggest jump since the BIS
began compiling the data.


Read more at Bloomberg Bonds News

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