UH-OH: CONTINUING GREEK CRISIS IS DRIVING STOCK MARKETS DOWN

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World stock markets dropped Monday as worries intensified over the condition of the eurozone and whether Greece is edging towards leaving the single currency union.

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Spain managed to raise €2.9 billion ($3.8 billion) in a short-term bond auction on Monday, but concerns over the future of the euro currency union pushed investors to demand higher interest rates to lend the money and caused the Madrid stock market to plummet. 

The Treasury paid a rate of 3 percent to sell €2.2 billion ($2.8 billion) in 12-month notes, compared with 2.6 percent in the last such auction April 17. It paid 3.3 percent to sell €711 million ($920 million) in 18-month notes, up from 3.1 percent.

RIGHT NOW... EUROPEAN STOCK MARKETS ARE DOWN 2%...

THE EXIT OF GREECE FROM THE EURO IS INEVITABLE - AND WILL BE GOOD FOR GREEKS, AND - IF IT HELP INDUCES THE EURO TO DISAPPEAR - GOOD FOR EUROPEANS, TOO.

IT WILL CREATE SOME HAVOC ALONG THE WAY, BUT IT WILL BE A VERY CREATIVE SORT OF DESTRUCTION.

STAY TUNED...