Nothing like telegraphing to the world that all is rosy by riding the US CDS short squeeze wave. Btw, when is congress convening to raise the cap on total US on-balance sheet debt?

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And some sovereign CDS observations form the good folks at www.creditresearch.com. Seem the short covering is not done yet, either here or elsewhere (although SPG did do it second follow on less than 2 months thanks to ML, maybe the propped up tide is finally turning - hey State Street, you can stop recalling all those shorts now... we jest of course).

Our index of Government Risk is at six month tights and dropping today even as the 30Y auction does not go as well as hoped.

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