What's going to happen Sunday with the Greek extend-and-pretend-dum? Sara Eisen has been asking anyone who has time to spare to join CNBC for commentary in the past three weeks if 'a Grexit priced in'. In usual fashion, last weekend we were shown yet again that nothing is ever actually 'priced in' as one can not price uncertainty and randomness. I still respect and like her but this kind of vague commentary without accountability is hurtful to viewers. I'll hold out hopes that iCNBC, the subsidiary of Apple and main marketing arm, will learn this someday.
As for a real example of possible scenarios we ought to turn to those who know Greece best, Goldman-"we've got a structured deal that will hide Greece's debt"-Sachs. Goldman knows Greece well, almost as well as former employee Mario Draghi (2002-2005) who is now part of the entourage charged with structuring drip loans to save the financially disabled nation.
Mario says he "knew nothing" of Greece according to Bloomberg in 2011 and - just like Clinton's "I didn't have sexual relations" and Bernanke's infamous "we won't be involved in a EU bailout" only to get involved through FRBNY FX Swaps that very day - we know it's all bullshit. Of the commentary being fire-hosed out through Sales & Trading departments and brokerages/research houses throughout the street, Goldman represents the most recent and detailed commentary:
No really knows what to expect and given the less-than-expected impact on peripheral bonds it is clear Greece (A) won't leave and won't cause much impact to peripherals and (B) that the market is more impacted on a volume basis by investor psychology than a price basis, something WSJ highlighted back in March.
No one is real sure what to expect. To see Sunday's results live, click here for the 5PM EDT announcements
