Greece is a basket case. It's not all that complicated to understand if you have a solid grounding in economics and human nature. Tsipras and Varoufakis are lefties elected to erase the consequences of a country spending far more than they earned for a prolonged time period. They face an impossible task and they know it, so they are busy blaming others for their obvious impending failure to do what they promised to do. Breaking promises seems to be the Greek national pastime. No sane person would want to negotiate with these bad faith actors even if they weren't deluded socialists.

Greece will get kicked out of the EU. The EU is going to crumble because Greece is far from the only country in such economic dire straits. They are merely the first to default. These sovereign defaults will either take down many large European banks or usher in an era of massive currency devaluation. As nation after nation in the EU goes back to their own national currencies, Germany will find itself in a position of having nobody to sell it's goods to that has any money. Capital will flow in torrents into safe places, first Switzerland and England but later and in greater volume the USA.

The US will become concerned that the dollar is too strong and our exports are too expensive, so we will join in on the competitive currency debasement game. Treasuries will sell at a premium and the yield curve will invert before the flight to safety subsides.

This may not happen soon, but it will happen. Central banks, governments and the IMF are very good at kicking the can down the road, but the road is finite in length. The problem is in guessing how long they can keep up the charade that the world capital structure is not fatally misaligned. There is danger in being right too early.