The cost of insuring Glencore’s debt has surged on renewed fears that the company may need to announce even more drastic measures to cut net debt if commodity prices remain at current low levels or even fall further. Investors had to pay Monday more than $770,000 to insure against $10 million of Glencore debt for five years using credit default swaps, or CDS, according to Markit. This is nearly 40% higher than the $554,000 on Friday and multiples above the $154,000 at the beginning of the year. An equity analyst at a U.S-based investment fund said “counterparties are looking to hedge their exposure by buying protection, so they are buying [the Glencore CDS ]... as well as shorting the stock.
i put £500k in GLEN, GKP, LMI, TLW and KAZ. 3 years ago and I have the square root of F all left . The entire sector has been destroyed in the past couple of years
i would expect a weekly close above £1 this week a bounce will come
glencore going bust woudl be unimaginable in the context of geopolitical issues this would cause a huge detrimental effect on the FTSE trackers pension funds etal who hold this stock