There is no doubt a systemic banking crisis is now going on which is affecting most bank CDS prices atm. Quite possibly JPM is reasonably safe, maybe just collateral damage, and an easier target for shorts. DB is right at the center of things as much of its Tier 1 capital is in the form of European sovereign debt including plenty from the periphery nations. Even German debt got hit last night so nothing is safe, and I doubt this has been factored in to capital adequacy stress testing. Needless to say it would be a systemic catastrophe on the scale of Lehmann if DB or similar were to fall over.
