This quarter there were few surprises in the list of the top ten most risky sovereigns, with Greece at the top of the table, followed by Venezuela, Ireland and Portugal, and there were no changes to the top eight least risky, although The Netherlands dropped out of the top ten.
However, the top five worst performers for the quarter are from Western Europe, confirmation that 2010 was one of the most difficult years for the region since the introduction of the euro in 1999. The report found that UK CDS widened 13% in the quarter following the bail out of Ireland.
In contrast, emerging Europe had another good quarter, with liquidity also improving.
For the first time the report also includes liquidity changes, useful to help predict potential future price movements.