Panic! But is it too late to panic?

The panic in credit protection - SPX edition

Credit protection continues moving one way, higher. CDX IG has taken out new recent highs, while SPX remains above the lows we saw in late January. The CDX IG (inverted) vs SPX chart needs little commenting. Credit protection is priced in a rather fearful way at the moment and the "pairs" trade vs SPX looks interesting.