Grexit risk at highest it is ever been — Barclays Reuters Greek Prime Minister Alexis Tsipras.If the financial market is a good predictor, you’d better brace for a Greek default. Borrowing costs on Greece’s government bonds have rallied back to levels not seen since 2012, the cost of insuring against a default has surged and investors are moving into safer assets in the eurozone, such as German bonds and equities. These factors all indicate that capital markets are getting increasingly concerned the Greek government won’t reach a deal with its lenders in time to avoid a cash crunch. If the country runs out of money it could face a default and eventually be forced to leave the eurozone. “Overall the probability of a Greek exit is higher now than it ever was,” analysts at Barclays said in a note last week. “Even if a no-default ‘muddle-through’ remains our baseline forecast for now.” The concern was echoed at Nomura, where economists said the “loss of trust in Athens among Greece’s eurozone partners has significantly raised the probability of [...] a ‘Greccident’.” The bank put a 40% probability of a Greek exit and “this is still rising with no clear sign of a reversal”. There is one thing to bear in mind. A default doesn’t necessarily equal an exit from the eurozone. In 2012, Greece defaulted on some of its debt and went through the biggest debt-restructuring in history, but it didn’t push the country out of the currency union. In any case, financial markets fear something bad is about to happen to Greece, as illustrated over the next four charts. Bond dump Spiking insurance costs Contagion Safehaven search http://www.marketwatch.com/story/signs-the-market-is-girding...