Hearing That The ECB Swap Is Done…

There is supposedly a headline out there that the ECB swap is done.  That is not surprising.  All they are doing is taking existing bonds, and changing them so they have new cusips and documentation that explicitly states they cannot be “retroactively” CAC’d.  This isn’t part of PSI or anything exciting.  It is a legal step so that their bonds can be treated differently than bonds held by others.