Calpine Corp.'s $742 million second lien traded in the 86-87 context last the week. The interest in the name was attributed to market technicals, according to a dealer. "People are looking for paper," another trader said. A month ago, Calpine dropped to the 83-85 context after it reported a loss of $28.7 million, or seven cents per share in the second quarter of the year. At the time, a $250 million letter of credit facility that could divert collateral from the existing lenders also affected the second lien's levels. Calpine's second lien is led by Goldman Sachs (LMW 8/9). Richard Barraza, Calpine's v.p. of investor relations, did not return calls.