• Word today that S&P has said it would consider any Greek write-down, voluntary or not, a credit event has the sent the Eurocrats back to the drawing board.

• After the credit agencies saw their reputations badly tarnished over the past few years, they seem now to have decided to play a principled role on Greece and will not participated in sweeping the default under the table.

• The EUR is trading mixed vs. the USD and on its crosses at this hour after opening stronger in Asia today.

• Australian retail sales released early on Monday were considerably weaker than forecast. The Aussie is weaker heading into the Reserve Bank decision on Tuesday.

• After the U.S. holiday today, this week sees an exceptionally active data calendar.

Check the Forex Forumover the day for an updated and ongoing discussion of current trading themes in the MARKET CHATTER continuous discussion thread.

Some traders focus intently on the Japan vs. U.S. 2-yr note spread (only the U.S. 2-yr moves much).

COMMODITIES and Commodity Currencies

EQUITIES & INTEREST RATES

Bonds are a counter to risk trades because risk investments must be financed. When the cost of money moves up (higher interest rates), the return and allure of risk trades such as equities falls.