Golden Arches Safer than Uncle Sam?!

Word on the street is that the credit risk of the Golden Arches are better than Uncle Sam.

arches VS. sam

5 Year Credit Default Swaps on McDonald’s Corp are trading at 24 to 29bp while US Credit Default Swaps are trading 30bp. This means that it is more expensive to buy protection against a default of the US government than a bankruptcy of Mickey D.


Another interesting fact of the day: Washington Mutual got seized by the US government and sold to JPMorgan on its 119th birthday (Thursday)

Big Announcement! Kathy and Boris No Longer With DailyFX

UPDATE – For BKT subscribers, there will be no changes. We are not going to be away from the markets and will continue to send 2 to 3 trade alerts a week

After building DailyFX from scratch and spending 6 years as its Chief Strategist, it is bittersweet for me to announce that Boris Schlossberg and I have left FXCM / DailyFX.

We are going on hiatus for the next 2 weeks and on August 18, we will officially announce our new plans. Not only are we joining a great new firm, but we have a ton of ideas that will blow your socks off!

I may or may not blog from now till then, but the high quality research that you have come accustomed to will be back in a heartbeat, I promise =)

Till then,

Kathy Lien