Be Careful What You Wish For

With all the (justifiable) recriminations aimed at rating agencies post the last crash, it's more than a little ironic that they're now being criticized for doing what we asked of them --  telling the truth.

In the past 24 hours, two huge bombshells.  First, Greece is no longer "fixed."  According to S&P, the restructuring, even though agreed to, is still technically a default.  The ECB will have little choice but to accept defaulted debt onto their books.

Now comes China, with word from Moody's that 10% of their outstanding debt may be no good.

Since last week's stock market run up was credited to the Greece issue being resolved, be prepared for some fireworks now that the picture has changed for the worse.