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Greek Bank Deposit Outflows Soar In January, Third Largest Ever
Just like the housing market in the US, following the modest blip higher in December Greek bank deposits, immediately the great unwashed took to calling an end of the Greek deposit outflow and seeing a glorious renaissance for the country's bank industry. Well look again. According to just released data from the Bank of Greece, January saw Greeks doing what they do best (in addition to striking of course): pulling their money from local banks, after a near record €5.3 billion, or the third highest on record, was withdrawn from the local banking system. As a result, total bank cash has now dropped to just €169 billion, down from €174 billion in December, and the lowest since 2006. This is an 18% decline from a year ago, or €37 billion less than the €206 billion last January, and is a whopping 30% lower than the all time deposit highs from 2007, as nearly €70 billion in cash has quietly either left the country or been parked deep in the local mattress bank.
Finally, we are 100% certain that following Venizelos' demands for people to return their deposits to banks from a week ago, that the people have done precisely the opposite.
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Mattress FTW.
"There is no way out" -- Kyle Bass
http://www.planbeconomics.com/2011/12/14/there-is-no-way-out-kyle-bass-comments/
Time to go long mattresses?
Cue the Serta Mattress sheep.
http://images.nymag.com/shopping/features/beds090216_560.jpg
2 years into this mess, why would ANYBODY in Greece still have their money in a Greek bank?
ZH's batting average is worthy of being inducted into the baseball hall of fame. But what does a 30% success ratio get you in financials?
You're gonna need a bigger boat.
http://www.youtube.com/watch?v=8gciFoEbOA8
Hello German Banks....Not only did you screw Greece but look at all the new deposits you are getting...SWEET.
They know that Greece can't pay the debt and eventually their bank accounts will be taken over and devauled to drachma at some point in the near future.
as a reminder, u.s. debt is now past 15.4 trillion
http://usdebtclock.org/
greece is the canary.........get out of the coalmine with physical cash dollars, not digital ones...............
Re-election time. $16.4 trillion by November.
There wont be any elections held with gas at $5.
A bonus for every banker, the rest can rot in hell.
THAT is the economic policy from "experts" Inc.
as a reminder, u.s. debt is now past 15.4 trillion
That is ONLY the accumulated Federal Government debt. It does not include...
...unfunded liabilities to the tune of $60 - $80 Trillion
...individual states' debts of $3-4 Trillion
...household (personal) debt of $10 - $14 Trillion
Not to long now and the money will be out. Moment Bastille hits Greece?
Exactly. Only reason this wasn't the largest exodus ever is because the smart(er) money is already out of the Greek banks. Diminishing returns (pun intended).
Little birdy says ISDA is calling, maybe why PMs are getting smacked.
They use that to buy fake treasuries.
The Greeks should legalize things that are illegal in other parts of the EU...
You mean like real money?
I'm sure the black market is thriving in Athens and outside, local currencies, barter and the rest.
Legalize? You're a sweet boy, my guess an American probably from the Midwest. There won't be anymore theorizing in Europe about State and its role, it'll be an anarchy from here on out.
Why? And ruin the profit margins on their best cash crop? You know how long it took for law enforcement to properly subsidize crack down on hash throughout Europe?
Hint, if you see a large cornfield in Greece, they're not just growing corn.
.
Ha Ha Ha Ha.....suckers!
How could there ever be inflows wtf are people thinking.
It puts the lotion back in the fucking BASKET!!
Euro-slavery comes to you.
Shit, has one person seen this coming yet??!
Damn straight its what Ive been saying here for 2 years.
Barroso says the colonization...er, the bailout plan is moving along fine.
Well the 18% are smart.......what about the other idiots with their money still in the banks.....must be government workers
I can't wait to get short Drachma 4.0...
Ireland is not doing that hot either...
http://www.centralbank.ie/polstats/stats/cmab/pages/Money%20and%20Bankin...
Why would anyone still have deposits with them?
Stupidity, ignorance, hubris, denial. See, I came up with four reasons just like that.
mattresses? francs? other Euro banks? maybe, but I think part of it is, it's just not there. Something like 100K businesses in Greece have closed shop in the last 2 years. And what savings people do have they're now eating away as their pay gets cut 20-50% or just 100% deferred indefinitly. Normally this is where devaluation comes in. But that's not an option for obvious reasons and so brings the crux of the problem. It's really that simple. The only mechanism export businesses in greece(which isn't many....yet) will have is to be competitive on price via lower cost labor for the forseable future.
While this may look like record outflows to ZH, it looks puny to many of us. If I were Greek I would remove all my money from Greek banks, except for enough to cover current expenses. So I don't understand at all. If you were to respond that money to cover current expenses is all the money most Greeks have, this is true--but the bottom 80% or so of the Greeks only have a small portion of the money--the well-off have the overwhelming bulk of it.
Question: couldn't it also be, that some people are spending it for daily necessities like food? Or maybe they are almost totally cashed out, period?
Just declare it illegal and make special agency to check every mattresses if it fits government recommendations.
Such agency doesn't need any founding - they can simply take all they find.
Homes, where something valuable is found, should be confiscated also as tools used for crime conduct. In other case, the criminals would repeat the crime of holding valuable items at home outside of government's reach.
And February will make January look like a Golden Age
20/02/2012
http://www.setimes.com/cocoon/setimes/xhtml/en_GB/features/setimes/artic...
"The ongoing economic slump, rising unemployment rates, diminishing purchasing power, newly imposed property taxes and banks' conservative or no-loan policies have taken a massive bite out of the Southern Europe property market, which has screeched to a virtual standstill."
Loan sharks knew that if they took the dollars printing machines under their control they could suffocate the world ...they could initially suffocate USA and after taking the USA from the Americans, they could move and suffocate the whole world and take the countries from their people.
FED printed cheap money and loansharking multiplied this money in an unnatural way within the American economy boarders and they discarded them abroad so that they did not threaten USA. USA became the first state in the world with artificial “breathing”...
It cannot be possible but just in the USA for only the last year, more than one million houses were seized. It cannot be impossible but the New World has returned to tents and shelters ..has returned to the ages of Columbus. It cannot be possible that we allow to a few loan sharks looting the toils and the assets of people...
http://eamb-ydrohoos.blogspot.com/2012/01/global-debt-crisis.html
------------------------
Global Debt Crisis
10 guesses as to which 2 months bonus payments flow through automated paycheck systems....
That's the way you stop a tyrant government, you starve it of money till collapse.
How degrading when the masses don't listen to the King....vulgar....
Question: are the Greeks withdrawing cash because they don't trust the banks, or withdrawing cash because they need to do stupid shit like eat and pay the rent?
aGOOD QUESTION AND ONE WHICH THE AUTHOR OF THE ARTICLE COULD HAVE WRIT YET CHOSE TO AVOID.
ARE THESE BANK ACCOUNT HOLDERS WHO ARE MAKING WITHDRAWALS PRIVATE ACCOUNT HOLDERS OR BUSINESS ?
THE ARTICLE IS BOLLOX WITHOUT THE FULL PICTURE.
Personally, what I find very surprising is that there are still at least some retail and commercial deposits left within the Greek banking system.
There seem to be no advantages, and lots of disadvantages...so why haven't they *all* gone months ago?
Watson