From the Financial Times:
Traders and investors have stepped up purchases of insurance against a US sovereign debt default, amid heated political wrangling over raising the US debt ceiling.
The gross value of derivatives contracts that pay out in the event of a US default has doubled from year ago levels, according to the Depository Trust and Clearing Corporation, which collects data on global trading of credit default swaps (CDS).
http://video.ft.com/v/959355486001/US-default-no-longer-unthinkable
Traders and investors are putting their money where their mouth is, in joining with Ronald Reagan’s budget director David Stockman, the Wall Street Journal, the U.S. Treasury, Southern Cross Equities’ Charlie Aitken, ANZ chief Mike Smith, global currency expert Savvas Savouri, ABC’s Inside Business and Business Spectator Alan Kohler, credit rating agency Standard & Poors, CNBC, Deutsche Bank, and Barack Obama, in conceding that when he forewarned of the risk of US debt default way back in 2009 (“Barnaby Warns of Bigger GFC“) …
Barnaby Was Right.
Barnaby Is Right 
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