I thought at first glance the urgent buyer had returned as the S&P 500 flirted with disaster (futures were walked up from +2 at 6 AM to +11 at 7 AM) but some of this action might be due to markets being happy with more kicking of the can down the road.  Apparently no bondholder should ever be allowed to take a loss in the too big to fail world - hence German demands that someone (anyone) be responsible for their investments, was too much to bear in bailout nation globe.

Per Bloomberg

  • Chancellor Angela Merkel signaled a willingness to compromise on German demands that bondholders shoulder a ‘substantial” share of a Greek rescue, saying she’ll work with the European Central Bank to resolve the crisis.   Merkel’s comments point to a reconciliation between Germany’s insistence that investors help bail out Greece with ECB warnings backed by France that any compulsory move risked triggering a default.