From Cynthia Scott of OMC Financial Services: 

**Structural problem still exist; the election provided time before these  problems have to be dealt with

**The debt will have to written down or money will have to be printed to pay it off unless spending is substantially reduced

**Spain and Italy’s debt is more serious than Greece since Spain is the fourth largest economy is Europe

**Investors should avoid international bond funds since if the bonds are written down in value, principal will be lost.  There will be a time when international bonds will be very attractive unless they default

**If money is printed to pay off debt for all three countries, it is inflationary and all bonds, including U.S. will lose value

**Global risk is going to be an element of investing for a long period of time and investors need to pay attention to asset allocation, minimizing their exposure to European bonds and stocks and focus on U.S. inflation bonds and stocks that will benefit from inflation.