Looks like another trial balloon.
Might mean German CDS gets hit.
All the national govs are subject to liquidity risk.
Just like the US States
Except the eurozone debt ratios are over 10 times worse.
If the world economy is improving at a fast enough rate all they probably need to do is buy some time.
No visibility on how this gets resolved.
Germany is considering a plan with its European Union partners to offer Greece and other troubled euro zone members loan guarantees in an effort to calm market fears of a default, according to people familiar with the matter.
The proposed plan would be done within the EU framework but led by Germany. German Finance Minister Wolfgang Schaeuble has discussed the idea in recent days with European Central Bank President Jean-Claude Trichet. Greece is the hardest hit of several countries, including Spain, Portugal and Ireland, that have recently seen their bonds come under pressure amid concerns that they will have difficulty repaying their debts.