Creditors Prevented Debt Reduction Deal In Greece

There has been a back-channel whisper conversation on the Greek economic situation on many levels. There is the derivatives story, which, if appropriate steps at the SWAPs insurance writers have been taken, could be a major victory for derivatives risk management. Then there is the very basic, almost fundamental economic issue in Greece that trumps much of the financial obfuscation: Greece simply has too much debt burden to support their economy. Debt reduction is the key issue that is most often left out of the conversation by design. Powerful creditors hate the idea, but it is necessary to move forward. Even U.S. Treasury Secretary Jack Lew this weekend...