The ECB head Jean-Claude Juncker Sunday threatened to preempt the ISDA, stating that a Greek default cannot be ruled out. When the ECB's head is openly talking about the possibility of default, you can rest assured that the next phase of this crisis is imminent, as there is virtually no chance Greece will make it through March. Actually, this weekend seems as good as any for a Sunday night bankruptcy, while the world watches the Super Bowl and Madonna, oblivious to the Lehman like event taking place across the pond.
The possibility of a sovereign default by Greece cannot be ruled out, Jean-Claude Juncker, head of the Eurogroup of finance ministers from the single currency zone, said in a German magazine on Saturday.
In an advance copy of comments to news weekly Der Spiegel, Jean-Claude Juncker was quoted as saying Greece could no longer expect solidarity from other euro zone members if it cannot implement reforms it has agreed.
"If we were to establish that everything has gone wrong in Greece, there would be no new programme, and that would mean that in March they have to declare bankruptcy," he said.
The very possibility of bankruptcy should encourage Athens to "get muscles" when it comes to implementing reforms, he added.Read more from Reuters: