Was rather disturbed to learn how quickly Greek's debt situation is spiralling out of control. Seems they're back to square one again and the now infamous bailout was all for nothing. Recall the shockwaves that permeated the global derivatives markets in March and threatened to trigger hundred of billions if not trillions of Credit Default Swap payouts, and bring down the largest US banks in the process. Makes one worry about how much of a shock an an already shaken system can withstand when the next series of bailouts hit the street. At any rate will be interesting to see the reaction of Germany when the basket case of Europe returns to beg for alms, and perhaps with an entourage of others in tow this time around also looking for handouts to beef up their failing banks too. Does make one wonder how much worse authorities will allow the situation to degrade before intervening with QE of all sorts. The amounts have to be staggering if sovereign nations and banks can burn through all that bailout cash in such a short time and an acceleration of withdrawals by a growing number of depositors only serves to complicate the management of this fine mess we've gotten ourselves into. Sad to see so much money poured into the system ultimately funded by the little guy on the street yet practically none of it trickles down.

http://sprott.com/markets-at-a-glance/the-real-banking-crisis,-part-ii/

The fact remains that here we are, in May 2012, and Greece is right back in the exact same predicament it was in before its March 2012 bailout. Before the bailout, Greece had approximately €368 billion of debt outstanding, and its government bond yields were trading above 35%.6 On March 9th, the authorities arranged for private investors to forgive more than €100 billion of that debt, and launched a €130 billion rescue package that prompted Nicolas Sarkozy to exclaim that the Greek debt crisis had finally been solved.7 Today, a mere two months later, Greece is back up to almost €400 billion in total debt outstanding (more than it had pre-bailout), and its sovereign bond yields are back above 29%. It's as if the March bailout never happened… and if you remember, that lauded Greek bailout back in March represented the largest sovereign restructuring in history. It is now safe to assume that that record will be surpassed in short order. It's either that, or Greece is out of the Eurozone and back on the drachma - hence the renewed bank run among Greek depositors.