Bear Collapse Makes Premiums Bullish.

    Investment banks like Bear Stearns are having a hard time even getting anyone to listen to sales pitches about credit default swaps, let alone buy into them.

    In the current credit crisis, more traditional forms of Insurance are gaining  in popularity by leaps and bounds it seems.  Premiums on unspecified types of Insurance Coverage are reportedly increasing rapidly:

   

The price of insurance on investment banks has surged in the last few days and is exponentially higher than it was last spring.

Landon Thomas Jr., "Fears That Bear Stearns Downfall May Spread" p. C1, col. 2 "Business Day" Section (New York Times Nat'l Ed., Monday, March 17, 2008).

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