BNP Tips Payer Spreads To Hedge For Debt Ceiling Vol

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BNP Tips Payer Spreads To Hedge For Debt Ceiling Vol

Strategists at BNP Paribas in New York are recommending investors buy payer spreads on the CDX IG and HY indices and June and March expiries to hedge for March or June, when potential debt ceiling issues could increase volatility and lead to wider spreads.

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