Just because these "contagion" things are never contained, as of minutes ago, French CDS has just passed over 200 bps for the first time since January, as the fact that Spain can issue debt maturing in a few weeks or months is completely forgotten (rightfully so), and as the market remembers that both Spain and France have critical bond auctions tomorrow, of which the Spanish one does not mature within the LTRO. So will Paulson publicly shorting Europe be finally correct this time? For now we don't know. What we do know is that the French contagion fear is spilling over to the country's bank sector where SocGen was down 6% at last check, and EURUSD is tumbling as of moments ago. Time to reimpose the financial short-selling ban yet?