Were General Electric to fail, it would be time to head for the hills. The conglomerate is not just an industrial and financial bellwether, it is the poster child for corporate solidity. Protecting the triple A credit rating is close to a matter of faith. Default should be inconceivable.

Yet the credit default swap market has been spooked. The cost of insuring the debt of GE’s finance subsidiary, GE Capital, has risen in the past month to levels more consistent with a troubled investment bank. It is true that GE group does not directly guarantee the liabilities of its lending arm, but it would be a seismic shift were the conglomerate to threaten the balance sheet strength, or reputation, that it considers a competitive advantage.