rumours are flying that Greece has threatened to leave the eurozone. There are a lot of denials naturally, but we suspect something’s up. It just makes sense for two simple reasons.
The first is that the market has totally lost confidence in Greece.
2-year yields are above 25%.
But then beyond that, Greece’s austerity attempts have been a total flop. They have no way out at this point.
So it’s only a matter of time. No point in waiting.
Meanwhile, this is what the drachma looks like.