Greece is running out of money and fast.
Greece is trying to get a loan from Germany and below market rates, even if they do it sounds like are only delaying the inevitable.
Also See Greece hopes EU debt plan will lift before money issue
That’s a 3-month yield of about 15% – an inversion that says that Greece blows to beyond the orbit of Mars within the next 90 days.
If there’s any validity to this they’re done, probably this weekend or some time next week, when they have an auction they have to roll.
Everyone who has bought their recent auctions has been trashed within days, with yields backing up almost immediately. That is, people have been railroaded into dramatically overpaying as a consequence of jawboned “confidence measures” that in point of fact are not worth a warm bucket of spit.
Greece needs to pull out of the Euro now and take the hit. There is a point beyond which the spiral tightens beyond all reason, and they may already be into the vortex too far to do anything meaningful, but this much is certain – the longer they delay the worse it’s going to get.
http://market-ticker.org/archives/2174-Theyre-Done-Greece.html
If this information is correct, it is all over. Bloomberg calculates the yield on the Greek 3 Month as determined by the bid, or where investors are willing to buy it, based on BVAL sources at 21.3%. In all honesty the bid/offer market in the 3 Month are all over the place. HDAT gives it as 99.650×99.840, BVAL is at 99.470×99.773. The HDAT bid implies a yield of 14.049%, which is still game over for Greece.
Another way to see the carnage is the Greek CDS curve: 3M-5Y is at -185 bps!
http://www.zerohedge.com/article/greek-curve-goes-apeshit-bloomberg-reports-3-month-bid-213
