Muristek
World Bank chief says world faces ‘human catastrophe’ from food crisis – business live
World Bank estimates there could be a 37% increase in food prices due to war in UkraineRussia moves closer to debt defaultUkraine live updates
Here’s our full story on the New York billionaire hedge fund manager Bill Ackmann selling his Netflix stake at a $400m loss.
Russia is moving closer to a potential debt default, after an industry body overseeing the credit default swaps market ruled last night that Moscow failed to meet its obligations to foreign creditors when it paid interest payments on dollar-denominated bonds in roubles (rather than dollars) in early April.
The 14 counterparties that oversee the credit-default swaps market, including investment banks, asset managers and brokerage firms, ruled unanimously on Wednesday that the borrower fell short of fulfilling its debt obligations, as investors didn’t receive dollars that were owed.
Following the decision, credit-default swaps tied to the Kremlin’s creditworthiness can be triggered if Russia fails to make dollar payments before a grace period expires on May 4. It would be Russia’s first default on foreign debts since 1918.
The bond covenants were pretty clear that ruble payments on dollar debt would constitute default. Come May 4 -- unless the logistical challenges around actually making debt payments are cleared, which seems unlikely -- I would expect Russia to be declared in default on its external debt.
Continue reading...