German Finance Minister Wolfgang Schaeuble used the “hot and cold” treatment vis-à-vis Greece on Wednesday, first saying progress made by the previous government was wiped out by the radical leftists since January before stressing, later in the day, that he does not expect a “Grexit” — even if markets have hedged against the prospect.

Nevertheless, he reminded that no deal has been reached between Athens and its EZ partners to extend a bailout loan agreement, as Greek state is clearly running on “fumes” at the moment.
“Most market participants are telling us that they have figured in whatever will happen,” he told the Council for Foreign Relations in New York.

Asked about Greece leaving the euro area, he said he doesn’t ‘expect it but also doesn’t expect a deal next week