Thursday, June 30, 2011 Greece At this point its not clear what time the second austerity

vote will happen Thurs. Weds vote was to authorize the 5-yr austerity/privatization plan and the Thurs vote is to implement this program. The Thurs vote is expected to pass although could be tight on individual articles, especially on taxes. Reuters/CNBC/DJ Greek debt rollover plan appears to be gaining momentum throughout Europe; after initial positive reception of French plan, Bloomberg says Germanys big financial firms have struck a deal. Germany's biggest banks and insurers have agreed on a plan w/the government to roll their Greek debt into new longer maturity paper. An announcement could come later today (Finance Minister Wolfgang Schaeuble will make a short statement at 1300 GMT ) Bloomberg S&P would cut the US credit rating to its lowest level, D, and Moodys Investors Services said it will probably reduce its ranking if the government fails to increase the debt limit, leading to a default Bloomberg Are markets starting to hedge against default risk? The WSJ discusses how CDS spreads on US Treasuries have been widening of late, reflecting growing investor angst over the coming debt ceiling deadline. WSJ Auto sales preview in the WSJ says that sales likely resumed their rise in June. Domestic sales in the month climbed 12% Y/Y according to Edmunds. SAAR is expected to top 12M. WSJ