This story never seems to go away. Markets tanked today as a new wave of concern over Greece defaulting, plunging the Euro Zone into more trouble over the sovereign debt crisis. Reports that Angela Merkel and the German Bundestag government are preparing a plan to aid German banks should Greece default on its bonds. The situation was not helped when Juergen Stark resigned from the European Central Bank, causing many to think that there could be a move to divide up the European Union. In Marseille, France yesterday, G-7 financial ministers met to discuss a possible Greek default. In the U.S., the stock markets were also cool in response to last night′s speech by Barack Obama, sending the Dow Jones plummeting more than 300 points.


Earlier this week. German Finance Minister, Wolfgang Schaeuble told the Bundestag that Greece was on a ″knife′s edge″, not exactly a sign of confidence. Part of the problem appears to be a suspicion that the Greeks are not providing accurate figures to the EBC and the International Monetary Fund. A plan to compensate German banks for up to 50% of their holdings on Greek notes is being considered. A group selling credit default swaps on Greek bonds reports a leap of 212 basis points, setting a new record at 3,238. They calculate the odds of Greece failing to meet its debt obligations now at 92%.

If European intrigue does not float your yen, then Degrees of Moderation has a montage of various domestic political issues to mull over. Over at Texas GOP Vote, the concern of the week on wild fires includes info on shelters. At Outside the Beltway they are taking a look at the argument that Social Security is a Ponzi scheme. Meanwhile, Red State looks more closely at Obama′s job speech.

The good folks at Sister Toldjah are poking fun at Think Progress and their latest hissy fit about George Bush. At Jihad Watch, they are reporting about how a group of Egyptians broke into an Israeli embassy in Cairo and vandalized it. Among the stories at Big Government is one doing some fact-checking on how Obama will fund his jobs plan. Finally, for some light reading, we have a nice piece at New Zeal comparing Democrat-Socialists like Obama to a tumor on America.

So you have plenty of options on what may interest you. For me, the situation in the Eurozone over a potential Greek default is one to keep an eye on. If Angela Merkel and the Bundestag are preparing to bailout German banks should Greece default on its debts, then that certainly puts the fly in the buttermilk. The European Union could unravel if the debt crisis follows the course it appears to be on. The recent shake up at the European Central Bank could be seen as the rats fleeing the sinking ship.