The ongoing modern saga of Greece moved closer to the formal declaration of the first sovereign default by a "developed" country since WW II. With the expected exercise of the Collective Action Clauses, it is almost certain that ISDA will declare a "credit event" and trigger the outstanding CDSs.
While the bond exchange is not yet completed, talk has already turned to the question of whether the next Greek default will occur before another European nation decides to follow the Greek path to debt relief. Is the Greek debt swap a "solution" to the European debt crisis? A one of a kind special deal? Or simply a huge mistake? See two articles: one from the New York Times and another from the Wall Street Journal.
