Everyone seems to be talking about credit problems in Hungary today. It's not just Hungary that is the problem. The biggest CDS spread wideners list today includes many of the Eastern European countries. See the table below (CMA):
Even Austria, Sweden, Belgium, France, and Germany had their CDS spreads move up demonstrably today. Importantly many of the Eastern European countries are now on the verge of default (CPD = cumulative probablity of default).
Already at much higher CPD%'s than Hungary are Greece at 46.74%, the Ukraine at 34.65%, Portugal at 26.04%, and Latvia at 24.22%. There are definitely things to worry about.
Good luck trading.
Disclosure: I have a short position on the SPY
