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What A Difference A Week Makes For Cyprus' Schrodinger Deposits
Following the Eurogroup press conference, the Cypriot Finance Minister Michael Sarris is currently explaining how:
- *SARRIS SAYS TONIGHT IS GOOD NIGHT FOR CYPRUS, EURO ZONE and
- *SARRIS SAYS UNCERTAINTY ON CYPRUS ECONOMY HAS ENDED :BOCY CY
Having avoided the "disastrous exit" from the Euro. Should we believe him? Earlier in the week he exclaimed:
- *SARRIS SAYS NOTHING WILL HAPPEN TO SAVINGS IN CYPRUS
And tonight we are told Bank of Cyprus uninsured 'savers' will face 40% haircuts and Laiki uninsured 'savers' as much as 100% (or total wipeout). It seems the lessons of Juncker are well studied in all the European Nations.
Though these are not the only contradictions this gentleman has made this week in his Junckerian manner...
On 3/20, we are told
- *CYPRUS'S SARRIS: 'WE WILL BE HERE [RUSSIA] UNTIL WE GET SOME AGREEMENT'
- *RUSSIA FINANCING TALKS WILL LAST `AS LONG AS IT TAKES': SARRIS
and then on 3/21
- *SARRIS SAYS RUSSIANS LOOKING TO AID TO MAKE UP PART OF EU5.8 BN
- *SARRIS SAYS HAS SEEN GREAT INTEREST FROM RUSSIA IN ENERGY
- *SARRIS SAYS CAN'T SAY HOW MUCH RUSSIA CAN CONTRIBUTE
and then on 3/22
- *CYPRUS DIDN'T GET REQUESTED RUSSIAN FINANCIAL SUPPORT: SARRIS
And even then the 'levy' - which would have needed a vote - was still there yesterday...
- *CYPRUS'S SARRIS SAYS DEPOSIT LEVY REMAINS `ON THE TABLE'
but most notably - he explains that:
- *SARRIS SAYS WAS WRONG TO PLACE DEPOSITS IN DOUBT
but now post major haircuts on depositors,
- *SARRIS SAYS CYPRUS HAS ACHIEVED BEST POSSIBLE OUTCOME :BOCY CY
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Yeah but, come on, he's got a way to go before he's as good as Bernanke is.
DavidC
I keep wondering if the Russians somehow missed a bargain here to get Cypriot assets...
I'm sure there won't be any unintended consequences
Sounds like the Cypriots got the big bankster dick up their collective asses. But, lets see how the Russians respond.
I know she is not objective but...
This could be a response already:
http://www.telegraph.co.uk/news/worldnews/europe/russia/9951385/Berezovs...
“The technotronic era involves the gradual appearance of a more controlled society. Such a society would be dominated by an elite, unrestrained by traditional values. Soon it will be possible to assert almost continuous surveillance over every citizen and maintain up-to-date complete files containing even the most personal information about the citizen. These files will be subject to instantaneous retrieval by the authorities. ”
~ Zbigniew Brzezinski
Yep, Zbigniew needs a twelve gauge shoved up his ass... right to the trigger shield...
Time to end the double talkin' jive!
http://www.youtube.com/watch?v=3dcOE9WDRjg
Can the tasters for the technocrats detect polonium?
Only posthumously
100% confiscation is genius really. No bank run.
Those cats are tuckered out exhuasted, and have nothing to show for it.
It's sure not a good night for whales. Getting harpooned while being phucked in the ass has got to be a little irritating.
The tragedy of our society is that people like him can freely speak out his outright dictatorship agenda yet no one in governments and parliaments demonstrably opposes and reacts accordingly against the agenda, perhaps except for Nigel Farage. In every normal society, due to the influence he and his fellow cronies have in society, such a guy would be investigated for open organized conspiracy and deliberate destabilization of constitutional democratic principles. The governments and parliaments are utterly blind and ignorant. It's a dangerous flirtation with evil much liked it happened during Munich Betrayal back in 1938 when Chamberlain and Daladier surrendered and sacrificed Czechoslovakia in false assumption they would stop Hitler.
The nations act, as a whole, as a tottering junkie being constantly on drugs. The overall decline is alarming.
That was just Putin sending a message. We can get people in the most surveilled city in the world if we want to.
...Sounds like the got the big bankster dick up their collective asses...
err. the Cyppies did? For those who still believe that there's such a thing as 'safe sex' whilst lying down with banksters, here's Nadeems' formal notice of your prophylactic's burstin: http://www.marketoracle.co.uk/Article39629.html /oh, and his list of the 'safety' of your stash in descending order of bank bullshit is a must read too!!@@!!
though the cat's been extremely slow to come out of the bag this last week(due to the miracle of MOPE!!)there's no stoppin it now: I've listed my personal travails with a non-Eurozone subsidiary of UNICREDIT* holding my remaining bank assets hostage with 'technical problems' bullshit...put that together with Market Oracles' warning above...and if you haven't evacuated Dunkirk by morning....it's all over cept the screamin for you!
*Hey fuckers...I gave you all week to get it together...now I'm gonna conduct my personal bank jihad...naming names and takin bankster games back into your own court...you want WAR? You got it!
"TONIGHT IS GOOD NIGHT FOR CYPRUS, EURO ZONE and...the collapsing dreams of a Brussels' quartered criminal cartel
Looks like a run on grocery stores over the weekend in Cyprus.
http://www.guardian.co.uk/world/video/2013/mar/23/shoppers-stock-cyprus-...
http://www.youtube.com/watch?v=zKh4OjS-Bwg
I doubt it. The Cyprus fiasco is far from over. Just wait till the next bailouts become necessary, to pay the bankster bonuses.
http://www.economist.com/blogs/charlemagne/2013/03/cyprus-bailout
"The country’s second-biggest bank, Laiki, would be wound down. Viable assets and insured deposits would be put into a “good bank”; €4.2 billion worth of uninsured deposits would be placed into a “bad bank” to be disposed of, with no certainty that big depositors will get any money back.
The treatment of the biggest bank, Bank of Cyprus, was a bit less harsh. It would be restructured severely by wiping out shareholders and bailing in bondholders, both junior and senior. Uninsured depositors would probably incur haircuts of the order of 35%, said senior sources involved in the negotiation. The “good bank” emerging from Laiki would be merged with Bank of Cyprus.
Jeroen Dijsselbloem, who chairs the euro zone’s group of finance ministers, said the deal was better than the previous one in several respects."
I guess the Russians would be looking for a good bargain on his head as of this morning...
The EU Politicians seems to think that they are immune to bullets or toxic chemical substances.
The EU is magnificent in their defiance of Russia, I must say.
That's an amoral observation to be sure, not saying who is right - deeply suspect the answer is "no one" - but if you're going to expropriate Russian oligarchs, I guess you just step up and do it like a boss.
You fucked up, you trusted us!
what happened to flounder?
Wiki knows.
Sell you a bridge while I am at it.......... How do you know a politician is lying? He is talking.
Bond holders?
You saying sovereign bond collapse averted? Derivative CDS implosion averted as well... for now...
Who are the shareholders of the Bank of Cyprus? Is the Bank of Cyprus being nationalized? Will the shareholders be wiped out? Or do they get off scot free?
It is de facto nationalization, or well, ECB-ization. They control the money, who gets it, and how quickly. The shareholders basically get told to sit down and shut up.
But you know if you're a major shareholder of a bank like this, you're not a very sympathetic case to begin with.
The largest shareholder of Bank of Cyprus is Odella Resources Ltd. Odella Resources is owned by a Russian oligarch named Dmitry Evgenevich Rybolovlev. In September 2010, Rybolovlev became a major shareholder in the largest bank in Cyprus, Bank of Cyprus, after buying a 9.7% stake.
In 2010 the stock traded at high of about €6 and is last quotes at €.21 so the shareholders are virtually wiped out already.
so who is lending money, bond holders, to these banks?
the "depositors" have entrusted there debt notes to
an organization that operates like a casino. woops.
modern banking strikes again.
It passes the debt to next of kin or else it gets bailed out again
Looks like most govts are technocratic apparatchiks of the EU thugs.
It is strange rooting for the Russian mafias to kill the EU mafia.
It helps me understand how a guy like Hitler gets in power. You are so pissed at what you have in front of you, you root for the thug who will kick ass and bring some "justice." I don't like that I like the Russians just this second.
The enemy of my enemy is my friend
The enemy of my enemy's enemy is my best friends girlfriend...
The only thing consistent in this world is the rise of hypocrisy, everywhere.
Uninsured depositors at Cyprus Popular would largely be wiped out, two other officials said.
So let me get this straight... let's say an old couple who worked all their life and just retired had all their savings at Cyprus popular... they are now dirt poor and have to go back to work??
Some people are gonna die over this and rightfully so.
Those eurocrats banksters just made a whole new class of people with nothing to lose who are fucking pissed...
Forget about mom and pop account. Not many people have savings.
Millionaires and billionaires are crapping in their pants as to where to put their money now.
This is setting up to be the worst financial collapse in history.
If thousands of common people run the banks for few thousand of dollars each is one thing. These people have only 10% of the money.
If hundres of millionaires and billionaires run the bank, that is cataclysmic,
Who cares. They are the minority who even if they lost half their money would still have a place to live and enough money to live. Those are not the ones in REAL trouble. The average folks who will end up on the streets because of this are the real tragedy.
When people who own most of the money run the bank, everybody will suffer.
And why in th ehell is silver still under $29 an ounce? Why is gold less than $2000 an ounce? Some people aren't figuring this shit out.
If one has 20 million dollars and would like to spend all of it in gold, is the PHYSICAL GOLD available?
The answer is no: Whoever bought it FIRST, is hanging on to it now.
$20 million is about 24 monster boxes of gold maples. I'm sure Tulving could manage that size, as could probably quite a few other retail outlets. And that's retail. (Assuming 500 ozs/moster box. I've never bought a monster box of gold, so that may be incorrect.)
Thank you ekm for making it clear for the slower ones here.
This is the boost to gold that is going to fuck up the doomer chartists taking about fucking death crosses etc.
Physical will be king
As we've said on ZH all along....
And why in th ehell is silver still under $29 an ounce? Why is gold less than $2000 an ounce? Some people aren't figuring this shit out.
Because the same type of people stealing bank accounts run the CRIMEX market. Gold and Silver will never be allowed to rise until they lose control.
Musical chairs, but there are no chairs.
and the musics way too loud...
Indeed. Left some hugs for you the other night regarding "embrace the suck."
"Not many people have savings" This is true in the US but not necessarily true in Cyprus. I bet that some old retired couples are going to get wiped out.
I'm not talking about cyprus. Cyprus is gone.
I'm talking about US and western europe.
You are right EKM... With the wealth of the world as concentrated as it is now.. The people with "money" are paying close attention. The banks will be bled world wide.
Precisely.
It's like an atomic bomb. So much energy concentrated in one bomb same as so much money concentrated on few hundreds or thousands of people all over the world who tonight had the worst night of their lives.
Every single penny above 100k can be stolen legally
"In Europe." And you have to go around democracy "to make it legal"(?) apparently this can work in Cyprus...and obviously the feeling among "the group" is that this can work vis a vis Portugal, Ireland and...Switzerland?! (They have powerful masters...they will obey) Obviously this ain't gonna happen relative to Spain, Italy or France. That leaves VERY few places to spirit off your capital...and Amsterdam looks to be making a sales pitch already as the EZ goes "full on Stockholm Syndrome." I don't care what the clowns on acid tell me..."this thing is MESSY." Not a trader but if I was the first thing I would do is put a bid in on yen. (As our very own Marc Chandler has recommended.) in spite of being pretty well convinced that "long treasuries" looks like a Sure Thing here...I'm still having a hard time not liking the US banks even though long "the T" means equities are due for a smack down. We'll see if Chandler is right on that "weak dollar call"...what do they call that options trade? A "strangle"? Shorting that Bucky still looks like a real bear here...
It looks to me it's going to happen everywhere in order to pay for losses of derivatives of big banks.
Nah, it's ok,they'll be able to buy their way out of the FEMA camps....one thing they can use those fiats for.
there's not enough cash in the system to satisfy a mom and pop run. That's the irony, that's the leverage, this power to collapse the ponzi is in the hands of mom and pop...they just don't know it. Grab the chair while the music is playing.
I think it's the opposite.
There's not enough cash to satisfy over 100k runs.
I think the reality is it will be a combo of both (to what degree of each I don't know). Either way paper is going to become scarce while the 5k jog is on.
The first bitcoin hedge fund was established in Malta. Interest has been reportedly quite high.
Just sayin'. Some rich people may start ploughing a few million into bitcoin just for the heck of it. I mean, why not? Anyone who takes 15 minutes to read about bitcoin realizes that it has a ton of potential with security and anonymity to boot.
Agree, it will end when the centralplanners start turning on each other
I think the big test will be in about 6 hours or less, when Europe (minus Cyprus) opens.
That is when you should watch the POG.
That is when the Europeans of all stripes commence their bank jog, especially where they have apparently "excess" deposits greater than Euro 100,000 in various accounts, with various formerly "sovereign" nations.
Where do they put these "excess" funds?
(1) US currency?
(2) US treasuries?
(3) Stock market?
(4) PMs?
Hold onto your hairpieces, as this is going to be a rollercoaster from Hell...
SIX HOURS OR LESS...
Exactly.
Those people I'm talking about.
What is the percentage of the western population with more than $100k?
5%, 2%, 10%? And these people own the absolute bulk of the money.
anybody that just sold a house?
The US has the best house in the slum. I think there will be a bunch of knocking on the door. I don't really care which way this thing moves as I hold weekly SSO options both ways. I just need it to move big and then reverse.
First off, what was the insured limit supposed to be for an account? I thought it was $100K (euro). I also thought the deal just reached leaves those people alone.
While I have moral sympathy for a pensioner who happens to have more than 100K losing money, this is an outcome that could have come from any garden variety bank failure and so people should have prepared.
I remember reading about an American trucker in 08 who had $250K in a deposit account in a failed bank. FDIC have him $100K back. He said it was his life savings.
The real story here is the capital controls, the *attempt* to steal insured deposits in the first place and the usual MSM coverup.
"Some people are gonna die over this and rightfully so."
I'm actually now to the point of searching for a single instance of a "higher up" getting hunted down by a broke commoner in any banking crisis anywhere. It just doesn't seem to happen that way. If anything the broke commoner gets a gun and shoots other near-broke commoners.
Never understood that...
This has been going on for hundreds of years or more. European bankster families have been mudering europeans and stealing their life savings in wars, crisises, collapses, currencies, bank runs and the list goes on. Things in the US are no better. Every President who was against central banking or gold/silver as currency was killed.
"SARRIS SAYS CYPRUS HAS ACHIEVED BEST POSSIBLE OUTCOME" ...
For Gold bitchez!
Will this count as a credit event?
No that's only if it happens on a leap year ending with a 3, and it snowed in hell that day.
Haha remember those "credit events". They went the way of the dinosaur when kleptocrats found they might be on the losing end of something massive.
Hah! Credit event.... When the U.S defaults (again) it won't be a "credit event" it will be a systematic restructuring.
lets see, junior and senior bondholders 'fully contribute', equity wiped out, deposits seized....
nope, doesn't meet the 'credit event' threshold.
So how much do the Russians lose? They had 28 billion euros and looks like they will lose a major chunk of that. These big haircuts are raising a lot more than 5.8 billion euros that the troika wanted initially. How much money are the haircuts raising? How many businesses in Cyprus will be closed by these haircuts? Will anyone ever keep more than 100,000 euros in a Cypriot bank?
Suppose you are a business in Spain or Italy or Greece. Can you afford to keep significant money in the bank knowing you could lose everything above 100,000 euros. Game on.
And this from a March 19 Reuters article: Big Russian Money Out of Cyprus:
Sources in the wealth management, advisory and banking industry in Nicosia say Russia depositors are typically smaller savers and entrepreneurs. Fiona Mullen, a British economist in Cyprus, said Russians she encounters tend to be buying 300,000-euro homes, not the palaces favored by oligarchs in London.
"There is a lot of Russian business done through Cyprus," she said. "It's so difficult to do business in Russia, you've got to bribe so many people, that it's easier to do it through Limassol. It's kind of the back office for Russia."
A business adviser said of his Russian customers: "Clients would be well off, but not the private jet kind." Most did not use Cypriot banks to keep money but as a conduit for funds.
Cyprus charges foreigners no tax on dividend income and capital gains. A double taxation treaty with Russia provides attractive incentives for Russians to use Cypriot banks.
http://www.reuters.com/article/2013/03/22/us-cyprus-russia-money-idUSBRE92L0PI20130322
The banks never had 28 billion euros of the russian money sitting in the banks.
It was lent to the Greeks.
Very good point. Russia would have sent in the red army (sarc) if that was the case. This is the real deal:
"Cyprus Popular Bank (Laiki) What: Founded more than 110 years ago, Laiki Bank Group stretches across 10 markets. Its market value hit more than 8.1 billion in November 2007, before falling as low as 170 million euros in March 2013. Retail and corporate/investment banking are the mainstays, but Laiki also has a wealth management business and other investments. Cyprus (43 percent), Greece (48 percent)"
Who owns it: Republic of Cyprus holds 84 percent after a 1.8 billion euros bailout in June 2012. The rest is owned by around 92,000 private and institutional investors, according to information on the bank's dated August 2012. More detailed information dating to December 2011 shows staff owned 2.45 percent of the bank, private individuals owned 37 percent and companies owned 54 percent."
http://articles.chicagotribune.com/2013-03-23/business/sns-rt-us-eurozon...
jim sinclair says the ~30 billion figure bandied about vastly underestimates russian holdings in cyprus banks, it is probably 10x higher. the russians want their assets held without disclosure, and get it.
Shocking that a last minute deal saved and protected the ...................stock market
Bullish... Run out to your nearest Russian mobster, borrow all you can, and lever up forty times to BTFD.
Yeah, cause we can all see now that Russians are pussies. Just look at the EU bitch slap them and take their money. Now everyone will do it!
I want my Russian bailout!
A deal involves the consent of all the parties to said deal. With the expected vote of support of the Cypriot Parliament suddenly no longer necessary, perhaps last minute steal is more appropriate...
6-10 < 40-100 Ouch! When they say uninsured I guess they mean it.
And the US needs to give up it's guns, Right, what ever you say.
Haircut = Spleenectomy
deposited cash = CDS Protection Fund
best for the people = people upside down in trees
wrong = transiently right
wipe out = buying opportunity
default = daffodils
Redraft and submit....
What happens if there's a global bank run? Does Ben have enough ink jets?
Hopefully, this just blows up in their face like the fucking cum guzzlers they are...
Of course, Benny-Bucks has more than enough ink jets...
but at some point the situation becomes hopeless, no matter how much paper he prints.
Looks like the strategy is prop /es up, hold your breath and pray bitchezz don't start fleeing for their lives from these thugs bankstas
They said the 40% will be used to cover debts... but then who's debts will they cover?
"Wham bam, thank you mam" is what it is.
They are covering the debts to the ECB. They are stealing deposits to pay themselves.
That's what it sounded like to me as well. Was wondering why anyone else would have a higher priority claim to any failed bank assets than the depositors whose accounts were not made whole via account guarantee/insurance.
The fact that stocks will likely be up tomorrow is sickening to me even though my positions are net long. The central banking gods will be feasting on the savings of a few thousand russians and varoious whonows this week, but make no mistake, the gods will be hungry again, and they will be "fed".
It'll be interesting to see if queues start forming at European banks first thing in the morning.
DavidC
Won't happen, Europe is now fixed...
"Bank Of Cyprus Bomb Explosion Reported In Limassol"
http://www.huffingtonpost.com/2013/03/24/bank-of-cyprus-bomb-explosion_n...
It was minor. When it's big there will be no news or spun as bullish for stocks, bonds, fx and democracy.
"Uncertainty" over Cyprus economy is ended? Yes, it is to be destroyed.
The irony of this event, and its worldwide repercussions, is that those with little capital, a small footprint, but practical skills, are likely to fare best.
In the debt game. He who has little to no debt wins when the debt reaper comes collecting. You might be poor as fuck but you don't lose what you already had unlike the other losers.
Do they honestly think that this will in no way cause depositors in the rest of the Eurozone not to pull out their money? There is no way anyone with 100k+ will be leaving their money in a Euro bank.
Never underestimate the stupidity of the masses. Clearly the banksters know this and capitalize on it daily.
Temporalist:
Right!
But don't forget that we are the 'masses'.
So a small business with about 50 to a 100 some employees gets their payroll jacked. Widow collects on late husbands insurance. Has to eat catfood or live with grandkids. Unintended consequences are a bitch. Push people into a corner they will fight back. On top of that you pissed of some wealthy russians. Powder keg.
outlaw corners ...
This is sickening i tell you! Da fuck man. I hope and i mean I HOPE people realize to take their money out of their savings accounts. Burn this motherfucker down to the ground! If the sheep continue to bahhhh then i want off this rat infested planet!
GOOD BANK = Bank containing poor peoples' money ... these depositors don't have enough money to make it worthwhile to steal from (yet).
BAD BANK = Bank containing rich peoples' money ... these depositors have enough money to make it worthwhile to steal from (once robbed, these people will be poor people, who whose accounts will then be transferred to the GOOD BANK).
This is GOOD news? Are they serious? Does anyone suppose the holders of the accounts that are about to get looted will do nothing in response... like remove ALL that is left of their money outside of the EU... and encourage others to do the same. This could lead to massive movement of cash outside the EU.
EUFUBAR.
It's already leadiing to a small movement of cash outside my checking account.
Where are you going to put it...? New Zealand?
There is no "safe place" to put money. Such is the nature of our collapse. This fucking shit is right out of 1984, the proles continually get ass raped with no lube and the blissfully carry on without more than a murmur of protest.
Fucking sickening.
Hard assets. Central banks can't print silver and gold and land.
I'm tryin' real hard not to give a rat's ass aboot what Tyler's'spreadin' o tweeter's burttt, HWEELL THATS SUMFUNNY SHEEET!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!TY TD.
One thing is clear...Very clear, Morons who believe any bad news or unfavorable economic event worldwide could have any affect on the 4 year long parabolic move in stocks, the unmitigated destruction of precious metals, the daily managing of unaffordable energy pricing, should have a muzzle grafted to their face and their hands chopped off. Because frankly, I'm sick of people who are really good at turning a clever phrase, or who got an "A" in english lit, spill their stupidity on this blog on a daily basis. Every gold/silver stacker, and every dipshit who keeps thinking this is the big one that will collapse the fiat ponzi system. Ben has won this battle with corrpution, lies and manipulation...All the things a decent person should hate. But he's won nonetheless. SO STFU with your funny, clever thoughts of what you THINK you know. We all know nothing! While the stupid and apathetic who left their money in their 401K (who can't be as witty and clever as any ZH regular) is getting ALL their money back, they're becoming wealthy again - SEE?...Stupidity pays, you all should try it sometime!!
Troll rating: 4.5/10
It was a good attempt but... meh.
all you get for your effort is a "fuck you".
Who is the bigger "Moron", the person commenting or the person who continues to come back and read the comments they find so distasteful ? It's a free speech zone Lewser... Deal with it.
Then there shouldn't be a rule of law, there should be no such words as thief, cheater, or loser.
If the ends justify the emans then we are no longer civilized. YOU CAN NOT PROCECUTE ANYONE FOR ANYTHING.
Or is the rule of LAW suspended until everyone makes thier money back? Then it comes back. You suspend the law to save the law?
If you believe the garbage you wrote, I'd kill you without a second thought. I'd kill every banker without a second thought. I'd sacrifice myself to save the future for my son.
Millions lose everything to save the unearned false wealth of the true garbage of humanity. YOU SUPPORT THAT?
Yeah just give up and take it up the ass. Because that is what cowards do.
Troll or not, an important kernel of truth. But ask the russian depositors in cypriot banks tonight if they like the oucome of being lethargic and unquestioning?
In the us things look good, the band is playing on, but the music can stop very fast.
Look at naural disasters, the tsunamis of thailand, or japan. One second the preppers look stupid and the people going about there daily lives unprepared look justified in blindly trusting the status quo...and in the next moment there is a polarity switch.
A bit OT, but relevant to the post about the band playing on....
It is prophetic how the violin that was played as the Titanic sank was announced to be genuine literally a day before the Cyprus Deposit-Jacking.
http://news.msn.com/pop-culture/auction-house-finds-violin-bandleader-pl...
Yes, lewshine, something must be done about the English Majors, and the sooner the better.
Every time I enter "Troika" in Google Translate, it keeps coming up "The Three Stooges". Can that be right?
Hmmm... Wise Guy!
(in Curly's highest pitched voice).
What's the over and under on this guys life now? I'm betting, and I am not a betting man, that he has 30 days tops.
Would not want to be or related, even remotely, to this guy. I wouldn't even want to be his pool cleaner. Bad things coming.
What say you others? hujel
I am his pool cleaner, and you've got me worried!
!!!!!!!!!THE S&P MUST MAKE NEW HIGHS!!!!!!!!!!!
Sweep it under the rug, nobody will notice.
If there are 100 homes in the way and 1000 people are protesting building the road, kill the 1000 people and bulldoze the homes. Problem solved, move on.
Some silly people wanting the money they worked their entire life to save, ha. They got in the way of an S&P record. Take their money, problem solved.
The banksters see a herd of sheep, they take up land that could be used for a nice summer home by that really nice lake. Kill the sheep, nobody can object.
ANYTHING CAN AND WILL BE SACRIFICED TO SAVE THE UNEARNED FORTUNE OF THE .1%
Anyone that supports the rise of the stock market for any reason after the wholesale rape and pillage of a country, no matter how small, is an enemy of humanity and should be punished by death. The banksters are slitting their own throats, time will tell how long it takes for enough blood to leak for death.
if laiki is plowed under with full losses to all equity and bondholders then i am content....the next step is to prosecute the criminals for theft, incompetence, and malfeasance...same applies to bank of cyprus....
Just take a look at the asset composition of these banks, and it will tell you the whole story.
If you don't want to hunt for the story, the gist of it is "Greek Government Bonds". To be fair, there's a significant depositor base in these banks that are Greek, too.
For those that didn't know, Laiki was already bailed out by the Cypriot government once, and is its major equity holder. Ouch.
I just went to an ATM in Cyprus and this came up on the screen:
Please select from the following menu options*:
1) US Military, high and tight
2) Bruce Willis
3) General George Armstrong Custer
4) Anne Boleyn
*small depositors are allowed the Wim Duisenberg option
So Cypriot banks used their deposit holders money (whether laundered or not) to invest in high-yielding (& also very high risk) Greek bonds...which not too surprisingly went bad, causing those Cypriot banks to require a bail-out...
Anyone with over
€100,000 on deposit surely must have realized
1. their deposits above that amount were not guaranteed...(meaning they were at risk of loss)
2. any excessively large depositor (millions) surely must (or would have been expected to) have done due diligence re: the risks their bank was taking with their money & the security of their excessive deposits.
Why should Europe (or the Russians) bail these "sophisticated" investors out?
Because the US government bailed out Wall Street so they could keep playing the game & pay themselves obscene bonuses???
The large depositors thought they had a done deal where they could foist the losses on all depositors in every Cyprus bank. Sarris was their bagman but he and the rest of the government could not pull it off. This is the first time the elites lost. We should be happy for the average Cypriot. It is not Sarris who should take credit though. He should be fired for suggesting the initial plan.
In honor of this deal my cat ruptured an impacted anal sac. Now if only I could find where the part that got blown off her butt ended up.
Damn they're starting to blow up the banks in Cyprus...can the Morgue be far behind?
http://beforeitsnews.com/international/2013/03/cyprus-bank-bombed-anger-...
This will likely have some political repercussions in the UK. A lot of retired Brits in Cyprus as well as military, many of whom will now have lost a lot of money. Expect calls for the British government to make them good, since they have been ripped off by the EU. Probably calls for the British government to take it out of its payments to the EU.
Of course Cameron won't do that, but his government is already on the nose and allowing Brits to be apparently ripped off by the EU will add to it.
How were they ripped off? What about "uninsured" don't they understand?
It's now open season on all uninsured accounts across the globe - but only if you live in a country that has built up decades eorth of debt...
No different than what happens in the USA regularly - if the FDIC can't find a buyer for a failed bank, the uninsured depositors get partial payouts.
Lesson learned: don't put your money in a failing bank (at least not above insured levels).
A great trade for Cyprus? Wipe out cash depositors and sell them out for -- a 10 billion Euro loan to your ECB masters who will now tell you how to run your country
If the banks are "only" levered 20/1 that means a 5% deposit withdrawal breaks the bank right? I imagine Berstanck and CO are cranking the 0000's into the banks tonight to make sure everyone can get what they want but it doesn't take much to spook sheep into a run.....
Cyprus is a central bank experiment. ECB enforced capital controls, while the cronies steal from the 100K accounts. The IMF lining up to hit them with the loans all the while Putin's dictatorship gets some nat gas on the table.
Fascism in Europe is alive and well:
* German FinMin Schaeuble says Cyprus Bailout Deal does not require Cypriot Parliament Approval
The small fry Cypriots will be cooked:
* Eurogroup's Dijsselbloem says Senior Bondholders in Bank of Cyprus will have to make a Contribution to Recapitalization (means, crony tax of some sought on small holders WILL be on the table again as senior creditors are Cyprus itself = goverment holds 52 percent of loan book, Greeks own a fair chunk the rest is outside investors)
I think Hank Paulson's approach just moved up a notch...
German FinMin Schaeuble says Cyprus Bailout Deal does not require Cypriot Parliament Approval
doesn't require further approval than the one passed by the cypriot parliament as one of the 'several' measures they passed just before their pres went to brussels.
zh has a link to the lagarde, etc panel live broadcast in which they clearly say that.
http://www.zerohedge.com/news/2013-03-24/eurogroup-press-conference-live...
Progress itself is not something that unfolds in a single line. Every present period is simultaneously now and yet millennia old. This millepede moves on political, economic, cultural, biological, and countless other legs, each of which has a different tempo and rhythm. One can see this as a unified picture and elaborate it in terms of a single cause by always keeping to a central perspective, as Spengler does, but one can also find satisfaction in the exact opposite….
It is now perhaps possible to understand what I mean when I ask that such theories (insofar as they are not explicitly true or false) be treated as nothing more than experimental intellectual principles for forming the inner life, instead of–as always happens today–ascribing an emotional quality to theory in such a simple and clumsy way. What people refer to as intellectualism in the negative sense, the fashionable intellectual haste of our time, the withering of thoughts before they ripen, is caused in part by the fact that we seek depth with our thoughts and truth with our feelings without noticing that we have it backwards, and are often disappointed at not getting anywhere. Sweeping ideological attempts like Spengler’s are quite beautiful, but they suffer today from the fact that far too few of the inner possibilities have had the ground prepared for them. One simply explains the World War or our collapse first by this, then by that cluster of causes; but this is deceptive. Just as fraudulent as explaining a simple physical event by a chain of causes. In reality, even in the first links of the chain of causality the causes have already flowed and dissolved beyond the scope of our vision. In the physical realm we have found an accommodation (the concept of function). In the spiritual realm we are completely helpless. Intellectuality leaves us in the lurch. But not because intellect is shallow (as if everything else had not left us in the lurch as well!) but because we have not worked at it.
Robert Musil, “Mind and Experience: Notes for Readers Who Have Eluded the Decline of the West,” 1921
Come on Russian mafia, DO YOUR BUSINESS AND PEOPLE WILL SUPPORT YOU.
i wish i could give 10000000000000000000000000000 votes up for that coment
I doubt the Russians were that loaded up in Cyprus.
Bank of Cyprus was bailed out in June 2012, who on Earth would pile cash into that basket-case after the 2012 Greek bailouts? It's bs. Cyprus and Greece owned it's own cr*p, made up a story to get the urgency happening.
Bad to Worse. This really sucks for a lot of real people. I feel for them, and hope everybody realizes they are not immune. Somebody is next, everybody needs to look in the fucking mirror! Good luck friends.
Who's in charge of this clusterfuck?
He who has the gold makes the rules - and I ain't selling.
This is just the first step, what they figure they can pull off politically for now. The uninsured depositors in Laiki get wiped and the uninsured depositors in BOC get frozen with some hope of recovery.
Meanwhile the bank run ensues. How much do you think Cypriots managed to get out of ATMs in just a week, while the banks were closed? Not a small number.
Cyprus isn't capable of implementing strict capital controls. The money will leak out, fast.
Next stage is after they've merged the "good" part of Laiki with BOC and start looking at what's really there. The "good" part means the collateral pledged against 9 bill of ELA. Sounds to me like BOC is actually getting the pleasure of being held responsible to repay Laiki's 9 billion of debts to the Cypriot NCB. BOC is going to be a pile of junk after merger. A sort of Bankia only crappier. No one's going to want to keep their money in it.
The next stage is another bank restructuring and a first restructuring of government bonds. And there will be more after that.
That guy is formidable competition to Baghdad Bob.
italics are my responses to the article:
Following the Eurogroup press conference, the Cypriot Finance Minister Michael Sarris is currently explaining how:
well, he got the euro zone right, only because they somehow they got the cypriot parliament to pass the resolution that gave the euro cover for doing a deal without getting a new vote from the cypriot parliament.
there is in fact, little doubt left about the uncertainty of the fate of the cypriot economy. not good would be optimistic.
Having avoided the "disastrous exit" from the Euro. Should we believe him?
so far he's spot on. leaving the euro now would be disastrous, just as staying in will be.
Earlier in the week he exclaimed:
And tonight we are told Bank of Cyprus uninsured 'savers' will face 40% haircuts and Laiki uninsured 'savers' as much as 100% (or total wipeout). It seems the lessons of Juncker are well studied in all the European Nations.
he could have meant the insured. or that he was trying to rally support. you need the quote in context.
Though these are not the only contradictions this gentleman has made this week in his Junckerian manner...
On 3/20, we are told
optimism, naivety. rallying the team. 'as long as it takes' took two days to get turned down. (my guess was that the cb's of the world circled the wagons and cut cyprus off.)
and then on 3/21
all probably true, especially not being able to say how much for obvious reason: no deal at that time.
and then on 3/22
truth.
And even then the 'levy' - which would have needed a vote - was still there yesterday...
first, you error: no vote needed, already fait accompli at the last cypriot parliamentary session, see zh link to broadcast with legarde etal.
levy is still there today, but just not on uninsured.
but most notably - he explains that:
truth, as it was the strategy of the pres of cyp to put the uninsured on the table in the first place. they could have taken the first deal instead.
but now post major haircuts on depositors,
non sequitor. major haircuts on the over 100k crowd were always on the ecb et al's . imo, sarris is owning up to the failed strategy of his pres, the strategy that led to the bloodbath now setting upon cyprus, as opposed to the slow, drip, drip bleed the ecb et al first placed on the table.
given the circling of the wagons by the world's cb's, russia's 'decision' to not help, he may well think that's right. and given that both staying in or leaving the euro are disastrous, perhaps he's correct. not that i would wish that choice on anyone under these circumstances.
My boy is blowing up sh*t again
http://www.youtube.com/watch?v=AelV-U0m1hk&feature=share&list=UUGThM-ZZB...
hell yeah, let it roll...
Sounds like a good and fair solution - not much different than what happens here when the FDIC shuts down a bank: insured depositors are covered, creditors and uninsured depositors stand in line for the scraps. It makes sense that markets would rally, as this reinforces the status quo, instead of creating a whole new arbitrary resolution priority.
You must be forgetting that all depositors at Laika will lose everything (100% - everyone).
That would be like the FED taking 40% of everyone's money over $250,000 on deposit at Chase and Citibank, and anyone with any amount of money in Bank of America losing everything.
I am hearing this meme that when you deposit your money at a bank, you are loaning it to them. That is wrong. We put it there so that we can get it when we need it and it will be safe. They charge us for this privilege. This meme is toxic. It is putting folks to sleep. The government should not make a guarantee it cannot fulfill.