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Russia CDS committee to meet on Wednesday after "credit event" call

Published 06/07/2022, 06:36 AM
Updated 06/07/2022, 06:41 AM
© Reuters. FILE PHOTO: Woman holds Russian Roubles in front of U.S. Dollar banknotes in this illustration taken May 30, 2022. REUTERS/Dado Ruvic/Illustration

LONDON (Reuters) - A key group of bond market participants will hold their next meeting on June 8 https://www.cdsdeterminationscommittees.org/cds/the-russian-federation-3 to hammer out how key Russian default insurance policies, known as Credit Default Swaps, should pay out.

© Reuters. FILE PHOTO: Woman holds Russian Roubles in front of U.S. Dollar banknotes in this illustration taken May 30, 2022. REUTERS/Dado Ruvic/Illustration

The Credit Derivatives Determinations Committee, as it is officially titled, decided last week that Russia had triggered a "credit event" after it neglected to pay nearly $1.9 million in interest on a sovereign bond that matured earlier this year.

There are currently $2.38 billion of net notional CDS outstanding in relation to Russia, including $1.52 billion on the country itself and the remainder on the CDX.EM index, according to JPMorgan (NYSE:JPM) calculations.

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