From Zero Hedge:

The Washington Post reports that the next "Lehman-sized" event may be just around the corner, as the European Commission is now supporting a ban on trading sovereign CDS.

While we are in process of tracking down whether this is actual news or just some exaggeration based on semantics, we will caution, once again, that the consequences of a CDS trading ban will be severe and very likely result in the opposite of what the EC intends on achieving.

Keep in mind that everyone expected the Lehman bankruptcy to be contained as it was at best a fringe cog in the financial system. The result was a systemic collapse as one interlinked component of the financial fabric imploded after another. The rush to...

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More on the sovereign debt crisis:

Why the Greek debt crisis matters to US investors

The sovereign debt crisis moves closer to the U.S.

Top Harvard economist: World is headed for "painful" crisis