Australia bond risk index jumps on credit volatility

SYDNEY: Australia's bond risk index iTraxx opened 27 points higher at 157/158 points, according to data provider Markit, on fresh volatility in global credit markets.

A rise in iTraxx, a credit default swaps index of Australia's top 25 debt issuers, means that cost of protecting against companies defaulting on their debt is more expensive.

The biggest single movers were insurance company QBE Insurance Group , fund manager AMP , property developer GPT Group and wagering company Tabcorp .

"The single name are widening, affected by the iTraxx," said Augusto Medeiros, fixed income analyst at Deutsche Bank.

Copyright Reuters, 2011