Greece averted bankruptcy be convincing their bondholders to take a 53.5% loss on the face value of their existing bonds. See: http://finance.yahoo.com/news/greece-secures-biggest-debt-cut-132152251.html The ISDA will not have to honor their default swaps for now.
Let me get this straight. Last week I had a bond worth let’s say $10,000, and this week it is worth $4,650. Am I suppose to believe that someone didn’t default on their original obligation and my insurance won’t cover this loss? Man’s laws have been so perverted that anything goes in the financial arena. Soon, the general population will wake up and realize that their retirement funds may not be worth what they thought. How long can this continue? Haman in the Book of Esther thought all was well the week before he was hung. Happy Purim!