Puerto Rican debt was 80¢ on the dollar in 2015 and dropping towards 60¢ in 2016. Hurricane Maria has tanked values further as large investors unwind bets on a recovery. At 20¢ investors face a virtual default. Many believe the debt will be officially forgiven or negotiated into the hereafter. Either scenario offers little comfort. The flight from sovereign debt was reflected in 30-year and 10-year Treasury debt that crashed just within the last month. To be sure, the potential liquidation of Federal Reserve Bank holdings hangs over Treasuries. But the latest weakness reflects the “new Greece” found in Puerto Rico.