* Angela Merkel says she won"t allow Greece to enter into an "uncontrolled default"

* Italy sold bonds at a record yield

* Italian government looking for China"s aid

Greece has 98% chances of defaulting in the next five year, if Greek prime-minister George Papandreou fails to assure investors that the country can survive the Eurozone debt crisis, Bloomberg says.

Peter Tchir, founder of speculative "TF Market Advisors" of New York, says: "Everyone expects Greece to default in the near future and I think that this will be a harsh event. It is clear that the country"s austerity program isn"t working".

According to data from CMA, the cost of insuring against the Greek risk of default for a five year, 10 million dollars loan (CDS) yesterday reached a new record high, of 5.8 million dollars and an additional 100,000 dollars a year. The previous record high, of 5.5 million dollars, was reached on Friday.

The promises of the Greek government and of the PM George Papandreou to comply with the goals that it needs to meet to receive the foreign loan agreed with the IMF and the EU lost their credibility, after a recent mission of the inspectors of the international financial institutions visiting Athens found that Greece"s budget deficit increased 22% in the first eight months of the year.

The Greek government estimates that the country"s economy will fall more than 5% this year, compared to a decline of 3.8% anticipated by the European Commission.

* Merkel: "Greece"s exit from the Eurozone must be avoided at all costs"

German chancellor Angela Merkel said she will not allow Greece to enter "an uncontrolled default", as European leaders try to minimize the risk the country"s problems spreading to others states in the Eurozone.

According to the statements of the German official, Europe is doing its best to avoid going