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Credit Crisis Watch: Are the Markets Thawing?

High yield spread is still high, because stocks can be manipulated and driven down to zero quickly by the use of CDO, CDS, futures, put options, short calls, ETF, leveraged ETF, naked short selling by market makers, naked short selling by "dark pools."

The market is structurally flawed and unstable!

The Fair Market Value accounting force lenders to be more conservative. Lending will suffer. The economy will stay weak. And the SEC will continue to not to protect the market and plan to keep the flawed and dangerous accounting rule. As a result, credit spreads will continue to stay high.