There have been rumors that Germany is coming to aid of Greece, but there are some formidable obstacles in such a ploy.

First EU law bars the European Central Bank or national central banks from bailing out EU members through buying their debt or offering loans, according to a German parliament research unit."There are no identifiable grounds for an alternative interpretation."

Germany is considering an assistance package for fiscally-strapped Greece, two lawmakers from Chancellor 's governing coalition said, Boomberg News reported Tuesday.

"We are considering support," Michael Meister, the Christian Democratic Union's deputy parliamentary leader and the party's financial affairs spokesman, told Bloomberg News Tuesday in a phone interview. "If Greece gets aid, it will only happen under strict conditions and if the Greek government undertakes far-reaching state reforms."

This is a fascinating story -- a behind-the-scenes scenario that is the stuff of conspiracies.

During the housing bubble, a huge number of questionable mortgages were created in what is called the subprime market. Many of the home buyers had shaky credit and, eventually, fell into foreclosure. Goldman Sachs (GS) held some of these securities but wanted protection against default. Where do you buy such insurance? American International Group (AIG), of course.

Under the terms of the insurance, Goldman was entitled to collect payments if the securities fell below certain agreed-upon values. You guessed it. When the housing bubble started to burst, Goldman demanded $2 billion from AIG to cover its losses.

Jamie Dimon, CEO of JPMorgan Chase (JPM), and Emilio Botin, Chairman of Banco Santander (STD) of Madrid, exchanged emails on how best to collaborate in the event of forthcoming bank failures. But the key here is that the exchange happened in June of 2008.

Afterward, Dimon and Botin met to discuss bidding on failing U.S. banks. Keep in mind that this was before the financial crisis gathered steam in fall of 2009. And keep in mind that this was before the TARP monies were provided to the big banks. This was before the collapse of Lehman Brothers, Washington Mutual (which JPMorgan bought), Merrill Lynch, Bear Stearns and so on.

The political climate in Washington is hardly conducive to a joint resolution by the Democrats and Republicans honoring Moms on Mother's Day, let alone high-stakes banking issues, but one reality is clear: if banks don't starting providing more credit to small and medium-sized businesses, Congress will have to create agents -- or new institutions -- that do.

The issue is too important for the long-term health of the economy: small and medium-sized businesses account for the bulk of America's jobs and new hiring.

Presently, demand is growing incrementally, but as it increases, if business credit lines don't as well, the recovery could stall, necessitating Congressional action.

On Thursday, markets across Europe, Asia and the U.S. sold off sharply. The reason is concern over Greece, Spain and Portugal being unable to manage their sovereign debts. The problem did not vanish overnight. The spread between the Greek and German 10-year government debt expanded since Thursday. Investors and traders sold the euro and bought dollars. Again on Friday, even with the Swiss Central Bank selling its own currency, the euro is still under pressure.

The dollar is strong again Friday, with the U.S. dollar index trading at 80.39, up .315 (8:30 EDT). In contrast, the euro has fallen 1.1% so far this week. This is the fourth consecutive week of losses.

As expected, both the European Central Bank and the Bank of England kept their key, short-term interest rates at the same levels Thursday, in decisions that are consistent with a continued, accommodative central bank policy in the world's major economic regions.

The ECB kept its refinance rate at 1.0% and the Bank of England maintained its 0.5% rate. The Bank of England also maintained its 200 billion pound/$315 billion asset buying program at the same level.

What to make of the Tea Party at this junction? It's too soon to tell. You'll hear a great of rhetoric, and banter and hype, but regarding a systematic and professional evaluation of 'the TP,' there just aren't enough data points yet.

Hence, for now, place them in the category of a faction. Factions are more likely to be merged into an existing party, form a separate interest group, or disband.

The late, great writer David Halberstam, who left this world far too soon, once said that a writer's life was the loneliest job in the world.

Perhaps the Chairman of the U.S. Federal Reserve is the second loneliest job in the world.

Fed Chairman Ben Bernanke was sworn in for his second four-year term Wednesday, the Fed announced.

And with it Bernanke ventured into his second term -- his initial term having taken place as first the United States, then the world, became ensnarled in the financial crisis that deepened the global recession -- the world's first contraction since the end of World War II.

Can you imagine this! American International Group (AIG) is paying its employees $100 million in bonuses.

This is after AIG was bailed out to the tune of $182 billion by the U.S. government. The government owns 80% of the insurance giant. AIG employees have agreed to a $20 million cut. However, some employees are screaming that that is not enough. They claim that their contracts dated earlier than the bailout must be honored.

The Obama administration has a full-press program underway to reduce unemployment. One of their proposals is to provide $30 billion to community banks to spur lending to small businesses. The money would be transferred from TARP.

The big banks have been reluctant to lend to small businesses, instead preferring to use their money for in-house trading. This proposal from the Obama administration is viewed as an end-run around big banks.

The current investigation of the American International Group (AIG) bailout by Congress has brought to light the inner workings and secret deals that were made.

Center stage in the investigation is the New York Federal Reserve. There are 12 Federal Reserve Banks that operate under the supervision of Federal Reserve's Board of Governors, chaired by Ben Bernanke. Member bank presidents are appointed by the nine member board, who themselves are appointed by other bankers.

Congress is patting itself on the bank for making a few minor changes in credit card costs, including:

• Starting in February, card statements will include the amount of interest and fees paid for the year to date.
• The statement will include the size of monthly payments needed to become debt free in 36 month.
• Card companies will give cardholders 45 days before changing the interest rate.

Why are these such minor changes? First, according to Kapner writing for Financial Times, the average American household has $10,000 in credit card debt. At a rate of 18%, it would take 48 years to become debt free by just paying the minimum each month.

China's economy has been booming. The main driver has been exports. But as the developed world has been in a deep recession, China lost some of its export business.

Now, it seems the present model of the Chinese economy is about to change. Li Keqiang, speaking at the World Economic Forum in Davos, Switzerland, outlined the changes about to occur, the New York Times reported.

Under the radar: Some trends are obvious enough and visible to all investors. Others are more subtle, but are just as potent, and these often slip 'under the radar.'

Case in point: As Senate leaders molded a late coalition to secure the reappointment of U.S. Federal Reserve Chairman Ben Bernanke to a second term as Fed Chair, the Princeton University economist and Great Depression scholar received public backing from an unexpected source: European Central Bank President Jean-Claude Trichet.