Markets rally on prospect of a third bailout for Greece

Back to back rallies in global markets because of the Greece economy, that is 0.2 percent of the Eurozone, is astounding.  Or maybe it is just a normalization of markets after the perennial Greek tempest.  Many unfortunate investors have been whipsawed in 2015 and here it goes again, selling into the noise and media hype.   It is clear that Europe needs Greece and Greece needs Europe which is why the market is rallying on the prospect of a third bailout and not the actual signing of a bailout - so Grexit is off the table.

The terms are billed as "tough" but really are similar to those agreed to in years past, which have yet to be implemented.  Management of the structural reforms and privatization will be by the retro "troika" which includes the ECB, IMF and European Commission.  Don't think that the U.S. is not participating since we fund 70 percent of the IMF budget.  Meanwhile the fundamentals continue to march on and bond yields in the U.S. have bounced reflecting increased confidence in the economy, says Voya Global Perspectives.