In The Meantime, Belgian CDS Surge Past 300 bps, On Verge Of Inverting

Don't tell the stock and EUR momo squeeze-based melt up, but even as European funding markets continue to be completely snarled up, default risk has taken a big step wider today. As usual, expect the HFTs which now thoroughly control both equity and FX markets, to be the last to get the memo. Most notable: Belgium CDS have just soared to over 300 bps, a 15 bps move wider on the day (and a welcome boost to anyone still holding on the Dexia-Belgium compression trade), and are about to invert.

                          5Y                10Y          5/10's                           

ITALY            452/462  +11      439.5/453.5    -16/-1                             
SPAIN           383/393  +6           368/384      -13/-3                             
PORTUGAL    140/1180 +25        875/945     -280/-220                           
IRELAND       740/770  +20        590/660     -160/-100                          
GREECE         60/62   +0.5          60/64        -0.5/2.5 
BELGIUM     314/324  +15    311/325       -6/4
FRANCE       182/186  +7        197.5/207.5     16/21
AUSTRIA      167/175  +5       180.5/190.5      12/17
UK             92.5/96.5 +2.5     107.5/113.      14/18
GERMANY      94/97   +1.5      112.5/118.5     17/21