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Mass Oil Producer Defaults Coming? The Bond Market Is Preparing For A Doomsday Scenario.

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Over the past 3 months, the bond markets have begun preparing in earnest for a wave of oil credit defaults. Yields are surging, bonds are trading at pennies on the dollar, and default insurance on oil issues is blowing the top off the charts.

In the following slides, we are taking a look at some of the biggest dislocations in the issues of oil market participants. The capital window so open in 2013 and 2014 is slamming shut as bankers see heightened risk that covenants will be broken and their capital may never be returned as industry revenues, reserves, and cash flow evaporate.

http://oilpro.com/gallery/700/9751/credit-default-swaps-spiking-across-industry-murphy-oil-shown-her?utm_source=WeeklyNewsletter&utm_medium=email&utm_campaign=newsletter&utm_term=2016-02-03

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