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Is This The Diabolical "Master Plan" Behind Crushing Europe's Depositors
Last week, when we commented on the absolutely idiotic Eurogroup proposal (now voted down and replaced by an equally idiotic "bank resolution" proposal which will see uninsured deposits virtually wiped out) to tax uninsured and insured deposits, we jokingly suggested that this may be merely the latest ploy by the legacy status quo to achieve one simple thing: force depositors across the continent (and soon, world) to pull their money out of a malevolent, hostile banking system and push that money into stocks, or simply to spend it. This would help finally defeat the biggest bogeyman of the centrally-planned reflation attempt in the past 4 years - the absolutely dismal velocity of money which drops every time the G-7 central planners inject liquidity into stocks.
We were joking, because it would be beyond conspiratorial to suggest that a central bank could go as far as wiping out the wealth and savings of an entire nation in order to promote broken monetary policy. It would be outright idiotic and not to mention criminal. Why purposefully endanger depositors, and thus an entire financial system, just to spook them and their money? Or so we thought until we read the following just as "conspiratorial" take from Deutsche Bank's Jim Reid:
Maybe the lesson from all of this is that if you are fortunate enough to have a fair degree of money you might be better off spending it! Maybe that’s the master plan here? Boosting activity by forcing people to use their money rather than deposit it! Indeed I wonder how long it’ll be before an equity strategist suggests that this is bullish as money might now leave deposit accounts and go into equities!
Sarcastic humor or sad, insolvent reality... You decide.
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MSM is working this.... Read this Reuters story and the comments - they are trying to keep a lid on this...
http://www.reuters.com/article/2013/03/26/us-markets-forex-idUSBRE92E111...
There is one very good reason to buy physical gold and silver with the withdrawn cash-
it really pisses them off. That's the only reason I need.
Lightning tells Uncle Topolino that he misses his best friend, Mater
Of course, the JournoList is cooking up the timing to flood the media narrative with profiles of the reactionary public who withdraws savings to make them look like a bunch of nutters because this represents another "extremist" behaviour in the "prepper" montage. And of course, this plays nicely into Big Sis' profile (Rightwing Extremism: Current Economic and Political Climate Fueling Resurgence in Radicalization and Recruitment, 2009) of alleged right wing enemies of the state who, by the DHS "extemist hate mongering right wing no good sonofabitch nutter" profile and among other sins, mistrust the global banking system.
From page 2, the footnote: "Rightwing extremism in the United States can be broadly divided into those groups, movements, and adherents that are primarily hate-oriented (based on hatred of particular religious, racial or ethnic groups), and those that are mainly antigovernment, rejecting federal authority in favor of state or local authority, or rejecting government authority entirely. It may include groups and individuals that are dedicated to a single issue, such as opposition to abortion or immigration."
From Page 3, "Rightwing extremist chatter on the Internet continues to focus on the economy, the perceived loss of U.S. jobs in the manufacturing and construction sectors,and home foreclosures. Anti-Semitic extremists attribute these losses to a deliberate conspiracy conducted by a cabal of Jewish “financial elites.”
All is going according to DHS plan, comrades.
Telling the truth in a time of universal deceit is a thoughtcrime, Winston.
It's pretty clear to me that there is panic behind the scenes.
Obama must have refused to increase the QE more than 85billion/month which seems not to be enough any longer for the europeans.
Moreover, QE is keeping crude oil prices still in hyperinflation and Obama would like to wind it down.
So, europeans seem to be in panic where to find the money to pay for CDS payouts. Only thing remained is the people.
Draghi can fire up his own printing presses. If the EU can outright steal deposits, and change the rules when ever it suits them, then they can surely go on a € printing spree for the good of European liquidity. If Europe thinks inflation is bad now, just wait until the ECB fires up the printers.
Do not forget:
Printing money = Buying collateral.
But, COLLATERAL = GOV BONDS = MORE DEBT = BRENT AT $150 = STARVATION.
It's not as easy as it looks.
The system is running of collateral and causing artificial shortage of energy.
THIS IS PANIC, I'D SAY
I agree.
You don't really think Obama understands whats going on do you? And even worse you think he has control on how much QE there is?
Yes Bernanke likes this because it takes the pressure off of need to buy bonds as Euro money works it way to dollars and US bonds. That is why they are allowing it to happen. It has nothing to do with Obama.
Expect many more bankster holidays. Coming to the US eventually.
The billionaires playing the final game to gorge themselves with wealth.
Then it's time for the banksters to clamp down with the security goons.
I hope y'all are breathing better than I am.
Aluminum fog today is frightful.
Cell towers are having a field day.
Fucken Chemtrails!
You chemtrail guys should hunt down the antidote the elite give to their children and themselves then you would be safe.. It doesn't hurt them after the antidote, find that live free..
The Antidote.
http://www.bulkherbstore.com/Detox-Plus
Then during or after detoxing, be conscious of your diet.
http://www.examiner.com/article/19-foods-to-naturally-detox-radiation?fb...
Lots of comments about how to do battle with the Fed / US Government.
Really simple. Stop spending on everything but essentials. No more new cars, clothes, furniture. Stop going out to restaurants. Stop going out. Stop traveling to vacation.
The Fed will have a grand time trying to keep the market bouyant under these conditions.
No, it'll be no problem.
If you keep your non spent money in a bank account, they will lend it out to people who will buy new cars, clothes, furniture. etc.
You, will end up with your money devalued by N% per year while others enjoy it.
Behold....
THE RESET.
(Reuters) - Cyprus Finance Minister Michael Sarris said on Tuesday that exit from the European single currency was not being contemplated and would be disastrous for the island.
"The exit of Cyprus from the euro zone, which could mean the exit from the EU, would be disastrous, politically and economically. We do not even want to contemplate it," Sarris told reporters.
http://www.reuters.com/article/2013/03/26/eurozone-cyprus-sarris-idUSL5N...
This seems like panic to keep the deal locked in...
I already thought of this. and once you drive them into the market if fall.
Someone's going to get a beating.
I'm not fully up on my economic history. Has depositors money ever been stolen 'en mass to fund a bailout that was caused by bad banking practices?
Seriously, I believe we are in uncharted territory and thus the consequences on any nation facing a banking crisis could be untold. We all assume Spain will crack soon and the whole banking system will be in melt down. With even a hint of severe banking problems and bailout talk over Spain, would that not draw the biggest bank run in human history?
This holds true for the UK, a nation who has a number of big banks who are wards of the state, and thus the tax payer.
Bank runs are now more likely by ORDERS of MAGNITUDE over before this Cyprus bailout scheme. Actually stealing depostiors money to give to the banks! Imagine this for a moment. Other people's in Europe now see their bank deposits as FAIR GAME for the very banks who hold them, with the blessing and force of the EU in Brussels to enforce widescale TAKINGS.
The west will curse the day they allowed a criminal banking group in Brussels take savers money. And YES, of course they want to force people to stop saving and start spending. Either spend it or invest in the stock markets [to push up the rich people's stock portfolios].
This is beyond criminal. Yet where is the revolution? No where! People are still glued to their TV sets and video games. I read yesterday that people now spend hundreds of hours watching others in their himes PLAY video games. This is what it has come to.
Has depositors money ever been stolen 'en mass to fund a bailout
Roosevelt stole everyone's gold which was currency at the time--yeah he paid for it with FRNs but they were devalued 50% the next day.
Also plenty of depositors lost all their money in bank failures. Deposit insurance was invented restore confidence in the banking system.
: "Yet where is the revolution? No where! People are still glued to their TV sets and video games. I read yesterday that people now spend hundreds of hours watching others in their himes PLAY video games. This is what it has come to."
Walmart sends "Silent Sound" electromagnetic radio transmissions throughout their stores to all their zombie customers. Have you ever noticed how drained and apathetic you feel after shopping in Walmart? Have you ever noticed how brain dead all Walmart employees are? The electromagnetic radio transmissions are generated at their underground security center in Jane, MO by a process known as electro-hydrodynamics. Walmart's security center is tied in with Homeland Security. Even a tin foil hat won't protect you when shopping.
Yeah. I don't shop at Wallmart.
There is a great discussion going on in some corners of teh internets about who was more prescient, Huxley, or Orwell. Your post is spot on for the Huxley angle.
http://www.visualnews.com/wp-content/uploads/2011/06/orwell-huxley-world...
http://i.imgur.com/XmNt6.jpg
That is exactly what the FNM bailout(s) did with one difference, the US raid applied to everybody-on the planet, not just depositors.
Just start publishing the names and home addresses of every Keynsian economist and central bank bureaucrat and let nature take its course...
I have. And I plan to write them all letters from my cell in the FEMA camp, and tell them what I think.
Just a thought here.... If it's a good idea to keep only enough cash in the bank to pay our current expenses, what happens when we become a cashless society? What are we supposed to put under our mattress?
Barter. When the Soviet Union collapsed, the Russians didn't have cash. They bartered for everything, and they were very good at it.
Barter would substitute for cash for day to day living but how do I stop the loss of my my life savings? If all money is digital, it would be possible for government to restrict the buying of large quantities of gold or other assets that might protect your "money".
Instead of having it confiscated, I recently invested my cash >100k. Bought a Porsche.
Driving the Porsche is much more fun anyway than watching boring numbers on a computer screen.
I wish I could join you in buying a Porsche.
Spending your savings because there is nothing worth investing in, and to keep from having them confiscated or diluted, is financial hoplessness and nihilism.
Very short-term thinking. Because it then raises the next question:
And what THEN?
After all the money and wealth of the worlds adinerados is spent, what's left? Then we have a depression the likes of which the world has never known?
get your money out of Earth! invest in Mars real estate!!!
http://www.moonestates.com/p2/One_acre_parcel_of_land_on_Mars/product_in...
Bernanke to target income inequality. Fed's going to target anyone with money/assets and make them poorer. Finally, something that he does have a proven track record with.
Guess the employment thing made them look like idiots and crooks when they faked the numbers.
I've been looking at the whole game, which seems to be manipulate the system until you have a massive advantage, then force a "fire sale" of all assets when everybody else has no cash and can get no cash, buy on the cheap, then resell and repeat.
Its the Soviet Union Model.
Right now we're in the "manipulate the system to get everybody out of cash mode of the game", next coming is appropriations, concentrations and liquidations of private wealth passed to the state, bank accounts, 401Ks, IRAs, they own homes too, next comes national mergers & concentrations, DOJ with DOD with EPA with National Park Service with the BLM and federal Reserve, and of course all the debt is increased at every step of way, and they're all buying anything in sight for "the state", but its all leveraged with foreign loans.
Why is the US government accumulating so much real estate?
With population growing shouldn't they be selling?
Then when the state can't steal or leverage anything more comes the big "cut off" when all printing stops and all "promises" end and the fire sale begins, nobody has any money, nobody can get any money, and nobody can sell anything because the state is selling everything, instant economic collapse and liquidity crunch and this time no savers to step in and stabilize things, and the only people with money are the mafia and former govt people.
Actually earning money is out, its all about the game.
you forgot the inflation part as well.. so even if you have 10k or 100k saved they will raise prices so you are as poor as the poor
the elite don't care if bread costs $9,000 a loaf
I agree with you 100%, I said when I first came to Zerohedge that if you look into the history of the USSR and banking within the USSR and the Gosbank you will see eerie parallels and preludes to what is going on today.
Yep, same as it's always been:
"If the American people ever allow private banks to control the issuance of their currency, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all their property until their children will wake up homeless on the continent their fathers conquered."-- Thomas Jefferson
Read more: http://www.quoteworld.org/quotes/12166#ixzz2OfeeZ6E9
Look at Gold charts,we are down 2 standard deviations on Gold over a 10 year period and it looks like a short term double bottom or close to it.One important factor keeping up the physical demand is the fact that even the most conservative investors are being told by their investment coaches to have a 5-10% weighting in precious metals.Anybody with money is doing this because of the way news travels today.If physical demand keeps up the way that it's going it'll surely put pressure on the banking/political crooks out there.Taking physical possession of gold and silver must outweigh the paper certificates in order to destroy corruption.If you can't afford to do anything else,just buy a silver coin from your mint.Even the smallest order counts.Spread the word to neighbours,friends and relatives to buy a little.
I'll spend it alright. On gold, silver and farmland.
doesn't make sense. Why impose capital controls if they want the money out of the banks? The Euro banks are backed into a corner of insolvency and are grabbing anything to stay solvent. The fractional banking system can't support bank runs...except *maybe* in some US banks where they are holding more cash than ever before.
http://www.bis.org/about/board.htm
mEET THE mASTERS OF THE uNIVERSE WHO ARE REALLY THE ONES IN CONTROL....
The obvious problem with this plan is the banks don't have the money. This is what is going on in Cyprus right now behind the scenes. Everyone is going to be coming for the cash when the banks reopen but the banks don't have the cash.
In the US, Bernank would love it if everyone withdrew their cash and started buying iShit except when it actually starts occurring they would call it a RUN on banks and everything would shut down. It is shits and giggles for the first 50 people in line, after that the bank is out of money. It has been hyper rehypothecated and exists as electronic bits in an infinite number of accounts.
Do we really believe the European printing presses have just been sitting idle these past two weeks?
Bank holidays are inventory building opportunities. I'd bet 3 wire bales of dinero have been stuffed in the vaults.
Want my guess as to why the Fed still hasn't released the new C notes here, after three years of supposed "printing press problems?"
Bazooka blast imminent. The final barrage! Timed just before fuzz faces departure from the Fed.
"There is no means of avoiding a final collapse of...." Mises
And let's not forget that it will also create jobs in the US. Don't ask me how, but, I'm sure Krugman will give us an explanation shortly.
So in other words if everyone in the US spends all their $ it will all go to China.
Looks like European stocks aren't able to get a hard one anytime soon, but wasn't it the banks wanting deposits so desperately to meet target2?
Ehm...
If you spend money out of your bank account to buy a stock, it may bid up stocks temporarily, guess what, the money ends up in someone else's bank account. It doesn't magically vanish into the stock market. It only vanishes when you pay a bank debt.
Give what is Caesar's to Ceaser and drink the rest.