"When it's important, you have to lie," is the now well-known mantra from European leaders when the crisis hit. So when a German politician proclaims "you can’t compare Deutsche Bank with Lehman. The bank is in a position to get out of this situation on its own," it's time to panic. Just a week after the 8th anniversary of Lehman's collapse, the multi-trillion dollar derivative book of Deutsche Bank dwarfs that of Lehman... and the credit markets are starting to wake up again.

Following government exclamations that there will be no bailout for Deutsche Bank, Hans Michelbeck - from Merkel’s Christian Democrat-led bloc and a member of German lower house’s finance committee - confirms it is "unimaginable" that the German government would support Deutsche Bank AG with taxpayers’ money.

“It would lead to a public outcry.”

“You can’t compare Deutsche Bank with Lehman. The bank is in a position to get out of this situation on its own”

German govt “would lose credibility if it jumped in” after “it was always said in the past that Deutsche Bank isn’t affected by the financial crisis”

It appears the CDS market is starting to wake up to the reality of the situation...