Yea the shaft bearings seem tight, there definitely is not enough play for that to happen in my opinion. I do have a new cap and rotor along with the proper plugs and wires now. Thanks! I'll be checking up on the cap that's for sure. I think if the bearings were bad it would have destroyed that cap instead of just one spot.

So that short could just burn that coil lead inside the cap that bad? Someone told me its an infamous Chevy thing. I can't see how it's " a Chevy thing "