EUROZONE / GREECE : Small Protest Continues After Cabinet Reshuffle; Merkel Reluctantly Relents To Voluntary Roll-Overs.

REUTERS / GUARDIAN

About 5,000, mostly communist, protestors marched on parliament...even after PM George Papandreou reshuffled his cabinet...because of his vow to continue austerity measures.

"What has changed with the reshuffle? Nothing," said a student."We are not planning to leave unless they take back the measures."

The Euro, European and world markets also settled down...as German Chancellor Angela Merkel ended her 6-week stand-off...and reluctantly relented to only "voluntary" roll-overs by investors of Greek debt that was pushed by French President Sarkozy and the ECB.

Merkel has long called-for private investors in Greece bonds to suffer forced debt re-structuring...so-called "haircuts".

Now she must face an increasingly antagonistic German parliament...and a populace unhappy about "supporting" the distressed, mostly southern tier of eurozone countries, sometimes called the "Club Med" nations.

"They've bought themselves time until September," said a London strategist.

EUROZONE/ GREECE: Tear Gas Clouds Athens Anti-Austerity Riot.

RT 2:20 Dramatic Raw Video

PM George Papandreou has offered to resign...after 25,000 protestors clashed for hours outside Greece's parliament building. At least 20 were arrested.

He is talking with the opposition leader Antonis Samaras to form a coalition government to deal with the country's crippling debt crisis.

"The most important member of a ship's crew is the captain, and the captain has to go," said conservative MP Theodoros Karaoglou. "If we joined forces, we could go to our [creditors] together to negotiate and the results of course would be better."

To SEE ALL 18 dramatic Greek Protest  fotos:
http://www.guardian.co.uk/world/gallery/2011/jun/15/violent-protests-athens-in-pictures?picture=375798292#/?picture=375798290&index=0

EUROZONE/ IMF/ GREECE: Juncker Threatens June IMF Payment...If Greeks Dally With Austerity; Greek Pols Can't Agree on New Measures.

BBC/

    Luxembourg's PM Jean-Claude Juncker (above) is still acting the grinch...against Greece.
   He warned that the IMF might stop paying Greece because it could not guarantee its solvency for the next year.
   Greece is due the next slug from its aid package...E12bn/$17bn usd...on 29 June... E3.3bn of it from the IMF.
   It would be the fifth tranche of the E110bn loan package from the EU and IMF.
    "Greece must implement the program fully and rigorously; this is very important to correct the errors of the past," Juncker said.
     But Juncker later said that if the EU and IMF are convinced by the new Greek austerity measures, there would be no problem with the next tranche of loans.

    Meanwhile, Greek leaders have so far refused PM George Papandreou's new austerity plan.
   Conservative Antonis Samaras rejected the measures saying they would "flatten the Greek economy and destroy Greek society".

FOR NYT COVERAGE By J. EWING:
    German FM Wolfgang Schäuble"...and other European leaders have grown impatient with the pace of Greek efforts to sell state assets, improve tax collection and make the economy more competitive. They are trying to maintain pressure on Greek leaders, while acknowledging that they may have to deal with the possibility that Greece cannot meet all its obligations." 

 http://www.nytimes.com/2011/05/27/business/global/27euro.html?ref=todayspaper