Qatar swaps hit 1-year high after ultimatum

The

cost of insuring exposure to Qatari sovereign debt rose to a one-year high yesterday after neighbouring Arab states, which have imposed sanctions on Qatar, issued an ultimatum, giving Doha 10 days to comply.

Five-year credit default swaps (CDS) for Qatar rose 4 basis points (bps) from Friday’s close to 115 bps, according to IHS Markit data, the highest level since last June. Saudi Arabia, Egypt, the United Arab Emirates and Bahrain are among those who have severed ties with Doha, accusing it of supporting terrorism. (Reuters)