Where will it lead us from here

So the Greeks aren't going to get any relief on their debt from the Germans, who hold a lot of the notes? No problem -- just demand reparations for WWII:

Europe’s leaders were stunned by the aggressive tone of Mr Tsipras’s address to the Greek parliament on Sunday night. They had assumed that Syriza would hold out an olive branch once it was safely in office, shifting its stance in time-honoured EU fashion.

Instead Mr Tsipras vowed to implement the party’s radical Thessaloniki Programme in its “entirety”, including a demand for €11bn of war reparations from Germany, a move deemed deeply offensive in Berlin.

Sigmar Garbriel, Germany’s vice-chancellor and Social Democrat leader, said "the chances are zero" that his country will respond to such an extraordinary demarche. The German press decried Greece's use of the “Nazi card” as moral blackmail.

The party's been over in Athens for a long time now, but they don't want to admit it. But maybe there's a reason for that -- the Greeks may have Barack Obama in their corner:

Crude realpolitik suggests that Greece may not be as isolated as widely-presumed. American President Barack Obama told German Chancellor Angela Merkel in Washington that he expects Europe and the IMF to “work with the new Greek government to find a way that returns Greece to sustainable growth within the Eurozone."

In a clear sign that Washington is losing patience with the eurozone’s strategy of fiscal contraction, Mr Obama almost seemed to endorse Greece’s demands for a radical shift in policy. “You cannot keep on squeezing countries that are in the midst of depression. At some point there has to be a growth strategy in order for them to pay off their debts to eliminate some of their deficits,” he said last week.

I could go on explaining the ramifications of this sort of thing, but this image pretty much explains the dynamic:

With no loving in our souls and no money in our coats

This is all coming to a head in March. Watch carefully.