A.M. Update

Markets in China, Hong Kong, Twain and South Korea remain closed for the Lunar New Year.

Futures slid most of the night until the Emergency Euro-Group meeting to consider a Greek proposal for a loan extension or bridge loan, her's what happened next...

Shortly after the European open the algos lifted prices on the resolution of the Greek dilemma, and that sharp peak and reversal you see is the Euro-Group, specifically the paymaster, Germany, saying "Nien!" to the Greek proposal.

The exact reason why the Greek loan extension/bridge loan was rejected, it's the same reason I've had since day one of thinking this was going to end ugly:

GREEK PLAN SEEKS BRIDGE FUNDING W/O FULFILLING PROGRAM: JAEGER

Of all of the bullet headlines, the one above is the most important as it illustrates the gulf between Greece and Europe and the fundamental issue at hand that has prevented even negotiations on a proposal, the two sides have goals that are completely at odds with one and another, the Greeks seeking to exit the bailout and find an alternative solution and the Germans who have the most vested, seeking to keep the loan on the books at all costs, even if they have to extend terms and even if the Greeks exit the Euro, that has been the problem since day 1 and why this will not be easy to resolve, the market just doesn't seem to get that sticky point as you can see.

In another bullet point headline, 

`WE HAVE REASONS WHY CAN'T SAY YES TO GREEK PROPOSALS'

They have been the same reasons throughout.