Spanish Banks Hit Panic Button As Independence Odds Soar But 'Stall' Rumor Sparks Buying-Panic

Tyler Durden's picture

Catalonia’s bid to separate from Spain had prompted investors to dump bonds issued by the region’s two biggest lenders, CaixaBank SA and Banco de Sabadell SA. Today, in a signal that the banks are taking thelikelihood of Catalonia independence very seriously, Sabadell has called a board meeting to approve a change of headquarters outside of the region.

The last few days' drop in Catalonia's biggest bank bonds has prompted an even more serious reaction by the banks themselves.

Sabadell notified the Spanish stock regulator CNMV that it will hold a board meeting today at 5pm local time on the possible change of location of its corporate HQ.

Bloomberg reports that the move was prompted by “uncertainty” from the challenge presented by independence movement, citing unidentified people in the market.


Sabadell officials offered no denial, saying HQ change would be to guarantee the legal safety that’s currently provided by the European Central Bank.

And as is clear, this is having a positive impact on the bonds (albeit modest).


Furthermore, Spanish Economy Minister Luis de Guindos told Bloomberg this morning that Catalan banks have indicated that if this process goes on, they are totally open to relocate their headquarters to other places in Spain.

Speaking on Thursday in a Bloomberg Television interview, de Guindos slammed the Catalan administration for its illegal actions and said independence is out of the question. Spain has nothing to discuss with the secessionists until rule of law is restored, he said. The instability may persuade Catalan banks to shift out of the region, he added.

“They have indicated that if this process goes on, they are totally open to relocating their headquarters to other places in Spain,” de Guindos said.


“This is a clear indication of how insane is the regional government of Catalonia.”

The bottom line indication from these moves is simple - the banks (and the government) are increasingly convinced that Catalan independence is going to happen.

And judging by Spain's decoupling from Germany...

And Catalonia's decoupling from Spain...

The market is not waiting for the final decision, even as Bloomberg reports that, according to two people familiar with their plans, Catalan separatists are trying to find a way to put off a definitive declaration of independence to create space for a negotiated settlement with Spain.

The movement’s leaders are divided over their next step, with hardliners from the party CUP demanding the regional government make good on its plans for a unilateral declaration of independence following Sunday’s illegal referendum, according to the people, who asked not to be named because the conversations are private.


Regional President Carles Puigdemont’s mainstream separatist group is concerned that such a move would have immediate negative consequences for the economy, the people said.

We find this a little doubtful and very interesting timing ahead of Monday's planned separation, that could well be designed to sow some more chaos as the establishment continues to paint the Catalonia-independence-voters as extremists...

Markets are ready to bounce on any headline...

Spanish Economy Minister Luis de Guindos said in a Bloomberg Television:

“The group within the Catalan government that is calling the shots is the CUP, an extremely radical group with a lot of anarchist links and they are the ones setting the agenda... Everybody has started to realize.”


“This is not a question of arbitration or mediation, it is a question of a government that has to enforce the law."


“There is nothing to negotiate without the full respect of the rule of law.”

Additionally, Bloomberg admits that a spokesman for the Catalan government didn’t respond to three calls and other messages seeking comment.

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syzygysus's picture

Wake me up when UN tanks are rolling into Barcelona.

Don Diego's picture

the Catalan banks are the first business to be affected by the unstability as customers from the rest of Spain can close the account very fast with a few clicks. Other businesses like car maker Seat will feel the pain a bit later. I am opposed to a boycot as it hurts the silent majority of Catalans, who are opposed to this madness. They are the ones that work and support the secesSIONISTS who are mostly civil servants (you need to speak Catalan to be one), live with their parents or are paid to breed the new generation of Catalibans (Muslims).

RagaMuffin's picture

"Spain has nothing to discuss with the secessionists until rule of law is restored, he said." OK, but whose law?

Sauron's picture

The Constitution, everybody's law

RagaMuffin's picture

The old Soviet Union had a constitution and how did that work out?

Sauron's picture

Cuba also has one. And so has USA. Are you actually comparing how these Constituions were wirtten, agreed and voted upon.

Out of your minnd

RagaMuffin's picture

Check the dates on Cuba and the USA and you may begin to see everybody that  "agreed and Voted upon" is a long time dead - and therein lies the one of the problems. Google secession , USA and you will see the issues are not limited to Spain May be out of my mind, does not make me wrong as to what is happening, nor why

Overflow's picture

Oh, this one was voted, with >86% acceptance.


Since then, constituionalist parties have won >85% of Parlament always.


We've always had republican, seccesionist or anti-constitutional parties (yes, spanish "fascism" allows you to have a legal Anti-Spain party) but they get only <15% votes. 


If >60% of Parlament want to change the Constitution, they can do it legally.  You only need about 50-55% of votes to get it.

BarkingCat's picture

The Soviet Constitution did have clauses for the Republics to leave the union.

If you look at it the map of the old Soviet Union that shows republics, no Republic was land locked within the Soviet Union.


Mustafa Kemal's picture

"The Constitution, everybody's law"

What an innovative idea. Maybe we should try that in the US.

Overflow's picture

Constitution, of course.


Voted and accepted by 90% of Catalans, best result in all Spain.

RagaMuffin's picture

Then why not another vote, to confirm your certainty?    ;-)

Sauron's picture

Ok with that. But every Spaniard voting, not just a minority stealing its rights to Spaniards

BarkingCat's picture

That's like saying a wife has to allow the husband and his family to be able to vote whether she can divorce him and leave.

Overflow's picture

No. This is not like Scotland and England signing for UK.


Catalonia was just a part of the Kingdom of Aragon and they have been part of Spain since the very beginning.


Spain, as most countries and juridic nations, is a pro-indiviso ownership of a territory.  So easy.


Grow up, boy.


eltxamo's picture

No, Spain is not a union of countries, is not a federal state, if you wikipedia you will learn that is a kingdom with parlamentary democracy.

MoreFreedom's picture

The "rule of law" phrase in the article should be replaced by the phrase "Spanish domination of Catalonians" even though in a supposedly democratic country, having a vote to seceed is "a mockery of democracy"  while the democratic government is always telling its citizens to vote. 

It's two wolves and a sheep, voting on what's for dinner.  The Catalonians are tired of being milked for the other Spaniards.

Overflow's picture

Independence odds soar!



Definiively, ZH is lost.


Noboy in the streets any more.  All secession leaders looking for someone to "negotiate" but nobody wants to talk to these clowns after their shameful methods have been revealed.  They've copied the Nazi handbook line by line; Mobbing oposition, children indoctrination, native language denial, assault to all media, riots against law...


They have been blatantly defeated  and even their dumbest supporters are today with with white flags asking for forgiveness, in order to cool things down and start again in a few months.


Independence odd soar....


Fuck you Durden, your are worse than CNN. At least they don't pretend to be "alternative"


Sauron's picture

This Catalan thing has really been an issue to report about.

But the way it has been reported both here and on other websites (notably Don Quijones on wolfstreet...sad, very sad).

Again, differences between facts and dreams...hard to learn.

This may be going on and even get much worse, but it takes a lot of ignorance to think about it the way it's been reported


wisehiney's picture

It seems that you should stick with cnn.

Overflow's picture

Yeah, for the LOL's

And ZH too from now on.

wisehiney's picture

Works for me.


Early one day the sun wouldn't shine
I was walking down the street not feeling too fine
I saw two old men with a bottle between 'em
And this was the song that I heard them singing

Lord preserve us and protect us,
We've been drinking whiskey 'fore breakfast

Well I stopped by the steps where they was sitting
And I couldn't believe how drunk they were getting
I said "old men, have you been drinking long?"
They said "just long enough to be singing this song"

Lord preserve us and protect us,
We've been drinking whiskey 'fore breakfast

Well they passed me the bottle and I took a little sip
And it felt so good I just couldn't quit
I drank some more and next thing I knew
There were three of us sitting there singing this tune

Lord preserve us and protect us,
We've been drinking whiskey 'fore breakfast

One by one everybody in the town
They heard our ruckus and they all came down
And pretty soon all the streets were ringing
With the sound of the whole town laughing and singing

Lord preserve us and protect us,
We've been drinking whiskey 'fore breakfast

Lord preserve us and protect us,
We've been drinking whiskey 'fore breakfast

Sauron's picture

Baco Sabadell to approve this afternoon it is moving out from Barcelona.

Caixabank is also at it

Differences between facts and deams are hard to learn

Overflow's picture

Yeah, Check Mate in two moves.


Diferentiate between dreams and facts is hard only for sheep.

BarkingCat's picture

And when Catalonia breaks away these banks will be sorry that they left.


Martian Moon's picture

Spaniards haven't worked in 500 years, that's the basic problem

The far flung colonies ripe for pillage are long gone

And the nearby co-opted states are now refusing to pay tribute

The Count's picture

Ah yes, the old Freedom and Democracy mantra heard by EU and US politicians....

Except of course if that means actually letting the people vote on something!

Overflow's picture

All affected should vote, not only those that shamelessly want it

BarkingCat's picture

Yes because the husband that beats his wife should also have a say whether she can divorce him or not..

 You are beyond fucking retarded

Overflow's picture

support that bullshit with any avidence or sign of opression or confess you're just another snowflake triggered by reality.

Dragon HAwk's picture

The Old Stall till we figure something out Strategy.

  followed by the Oh Shit, now what do we do Strategy.

Something about sour grapes we didn't want them anyway, comes to Mind.

Dirtnapper's picture

What if Catalan doesn't need banks?  They just use a blockchain from their own Treasury Dept?

Overflow's picture

Paper or Blockchain, value would divide by 100 in a week.

Overflow's picture

"The different tribes of Catalonia will hold a barther economy"

Anna Gabriel, Member of Catalonia Parlament and oneof the leaders of independence movement.


She supports tthe tribe should procreate and educate the children colectively, better than by their selfishpatriarchal  mother and father.


By reading this Catalonia circus with your MSM narrative you are missing the biggest fun in years.

Don Diego's picture

LOLZ. ZH, the banks are not considering to move out of Catalonia because of independence, they are considering it because there is a massive boycot of Catalan businesses. People are closing their accounts in those two banks from Catalonian customers and from the rest of Spain. Some Spaniards have started to boycot Catalan products (I disagree but that is a fact).

As some natives have been saying here, the slightly higher Catalan wealth is mostly due because they traditionally had a captive market in the rest of Spain. The Catalan products were protected by Spanish tariffs. Catalans and Basques, since they are the closest to Europe had received a lot of the investment of the state.

Take as an example car maker Seat, good example of Catalan business. Started from zero in the Catalan region funded by the government of Spain. In their 60 years of story they have never produced a successful design of their own, and were using Fiat and now VW designs. Seat is mostly sold in the rest of Spain (60% plus). Now tell me how you replace 60% of your customer base because the Spaniards that are not going to follow the boycott will suddenly find their brand new Seat vandalized. Who else in Europe is going to buy a Seat if you can get a similar (and better) Skoda?

Hongcha's picture

BBVA and SAN are edging up this morning.

BarkingCat's picture

So Spanish would vandalize someone's car because they do not like where it's made?

Thank you, that is very enlightening. The one that Catalonians want to get the hell away from you.

greenspanator's picture

Would you buy a car from a Californian automaker who supports Antifa and Californian automaker?

I bet it would last 2 minutes on the street.

But you have adapted to the MSM narrative that ZH has adopted, and see nothing else. You are becoming the morally superior homanoid evolution that the SJW madmen consider themselves.

Don Diego's picture

I made a business trip to a GM factory years ago. My contact at GM told me to move my rental car as I had parked it in the employees parking lot and it was a Ford. So this happens pretty much everywhere, I am afraid.

Horse Pizzle's picture

Spaniards without Catalan slaves are like Puerto Ricans without credit.

greenspanator's picture

Get out of your shithole and see the world

Don Diego's picture

LOLZ. Useless uninformed comment, should get plenty of arrows up in ZH, I will give you your first for entertainment value.

Overflow's picture

This is a much more revealing headline for ZH about Catalonia.


Andorra is  where the catalan oligarchies, the most corrupt in Spain by a landslide, have been hoarding the loot of decades stealing comissions for every public budget.


The independence hoax has always been a smoke screen for real isuues and a tool to get leverage against Madrid in budget or parlamentary deals. But in three months Andorra will open their records to Spanish Tax Agency and Courts. That's probably  one of the drivers that triggered this desperate action of their elites. Estimations give a figure around 30 Billion euros hidden there.


Don Diego's picture

wow I did not know that. But Overflow, the information that Andorra has to pass, is for accounts existing in 2018? or also for old accounts? if it is just for 2018 accounts, you can bet the Catalibans will have already moved the money elsewhere.