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Nationalized Spanish Bank Plummets On News Of Bank Run

Tyler Durden's picture


The problem with bank runs is that once they start, they don't stop. And while the world was conveniently distracted by events in Greece, debating whether or not people were withdrawing money in droves (they were), the real bank run happened elsewhere, namely in Spain, where just nationalized bank Bankia moments ago plunged 30% and was halted following an El Mundo report that "customers had withdrawn €1 billion over the past week." In other words -  a bank run (but whatever you do, don't call it that - it's not the politically correct and accepted nomenclature) which has sent shockwaves through Europe, pushed the EURUSD under 1.27, and bond yields in their traditional "Europe is open" direction - wider.

From FT:

Shares in Bankia, the Spanish bank which was part-nationalised last week, plunged by over a quarter on Thursday morning, after a report that customers had withdrawn €1bn from the bank over the past week.


Shares fell 27 per cent to €1.21 after El Mundo, a national Spanish newspaper, reported customers had withdrawn €1bn from the bank over the past week, citing information from a recent board meeting.


The self-styled “the leader of the new banks” was formed from seven cajas last year and has now shed nearly 70 per cent of its market capitalisation since its shares were listed in July of last year.


The fall helped to drive the broader IBEX 35 index down 2 per cent to 6,480.7.

The news has started to spill over to other PIIGS banks, and very soon all Italian banks will resume being suspended limit down on fear that the bank run contagion, pardon, the withdrawal meme (h/t William Banzai), because in this fake, artificially supported world, one is never allowed to call a spade a spade, has commenced.

In th meantime don't panic: after all, just recall the Bank of Spain statement which promised that despite the Bankia nationalization, that "BFA-Bankia is a solvent entity that continues to function quite normally and customers and depositors should have no concern."

Turns out depositors had a few concerns...


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Thu, 05/17/2012 - 06:55 | 2434475 Quintus
Quintus's picture

Just because the government lies about everything else doesn't mean we can't trust them when they say our cash is perfectly safe.  Does it?

Thu, 05/17/2012 - 06:58 | 2434484 EscapeKey
EscapeKey's picture

Our cash is perfectly safe in their pockets, that is.

Thu, 05/17/2012 - 07:23 | 2434517 Harlequin001
Harlequin001's picture

Ctrl+ Fucking P

Big time...

Thu, 05/17/2012 - 07:47 | 2434586 malikai
malikai's picture

Can someone please explain to me why a 'nationalized' bank trades on any exchange? Or is this also part of the new normal?

Also, fuck facebook. When will Greece have their IPO?

Thu, 05/17/2012 - 08:09 | 2434619 Elwood P Suggins
Elwood P Suggins's picture

They're going to have it shortly as they tell the Euro - I'm Pulling Out.

Thu, 05/17/2012 - 08:16 | 2434637 malikai
malikai's picture

Greece: "Sorry about that Germany, I forgot to pull out. Hope it's not that time of the month."

Germany: "Oh shit, I forgot to take my pill."

Greece: "I think it's time we start seeing other people."

Thu, 05/17/2012 - 10:16 | 2435221 jez
jez's picture

Because the gummint share is only -- if that's the right word -- 45 per cent.


So if you buy a crappy Bankia share at EUR 1.21, are you buying a share of the private 55 per cent? No idea.

Thu, 05/17/2012 - 10:52 | 2435474 malikai
malikai's picture

Precisely. Question remains. Indefinitely, sadly.

Thu, 05/17/2012 - 07:21 | 2434518 Landrew
Landrew's picture

Sadly, our cash isn't even safe in OUR OWN safes.

Thu, 05/17/2012 - 07:22 | 2434523 Harlequin001
Harlequin001's picture

Buy gold.

That would work...

Thu, 05/17/2012 - 17:47 | 2437513 Nozza
Nozza's picture

Last time I tried moving gold to my safe I lost it all in a boating accident...

Thu, 05/17/2012 - 17:47 | 2437514 Nozza
Nozza's picture

Last time I tried moving gold to my safe I lost it all in a boating accident...

Thu, 05/17/2012 - 20:12 | 2437902 Harlequin001
Harlequin001's picture

twice, you must have lost a lot of gold...

I thought you would have learned the first time...

Thu, 05/17/2012 - 07:23 | 2434527 ThirdWorldDude
ThirdWorldDude's picture

unless it's shiny and has a metallic taste

Thu, 05/17/2012 - 06:55 | 2434476 PR Guy
PR Guy's picture

If Spain is toast, what's Greece? And Spain is toast. A bailout can only be weeks away. If that.

Thu, 05/17/2012 - 07:00 | 2434486 EscapeKey
EscapeKey's picture

Dave in Denver (one of my favourite blogs) says we're very close to a monster ECB/Fed QE operation.

 I just got off the phone with a longtime friend in NYC who told me that he just spoke to a very plugged-in "insider" (i.e. politically connected) type who told my friend that a massive QE in Europe and in the U.S. is coming

Thu, 05/17/2012 - 07:08 | 2434500 Quintus
Quintus's picture

It's coming alright - unless one really believes that the authorities will just stand back, do nothing, and watch the Euro implosion take down the financial system - but the question is when?

What is the pain threshold that they want to see reached before they spring the new miracle cure of more free money on us?

Thu, 05/17/2012 - 07:24 | 2434529 Bobbyrib
Bobbyrib's picture

Just bought some of the good stuff on the cheap too.

Thu, 05/17/2012 - 07:31 | 2434546 Harlequin001
Harlequin001's picture

You mean, (gasp) you bought some shares at €1.21?

Thu, 05/17/2012 - 07:20 | 2434512 Rusticus
Rusticus's picture

Who is more plugged in than Jamie Dimon ? If a massive QE was imminent wouldn't JPM have held it's position on EU sovereigns

Thu, 05/17/2012 - 07:25 | 2434535 Quintus
Quintus's picture

Do we know they haven't?

Thu, 05/17/2012 - 07:43 | 2434574 Rusticus
Rusticus's picture

True, tho the rumor is certainly helping JPM unwind (IG9).

Thu, 05/17/2012 - 07:41 | 2434567 sessinpo
sessinpo's picture

Not unexpected at all. QE in Europe will finish the euro. QE in the US might appear to work at first as the dollar will be strong against the euro. Currency wars as I have posted beforel. But ultimately QE in the US will fail. The increase in US dollars won't spread through the economy as they wish. Instead, the additional dollars will go toward hoarding by companies that see hard and uncertain times ahead and to service old debts. Thus as TD has suggested, QE has less and less effect each time it is implimented. It doesn't create real new growth, but it has hidden the slow down. That will too will end.

Thu, 05/17/2012 - 07:48 | 2434588 moonstears
moonstears's picture

Oh, I'm not sure "they wish" US Dollars to spread through the economy, and if so, which they, who is they?? Certainly not banks. Maybe Govt by giving out that $39 SNAP card each month?

Thu, 05/17/2012 - 08:22 | 2434660 JohnKozac
JohnKozac's picture

The 'Strong Dollar' will lead us out of this Depression...increase our exports, right?

Thu, 05/17/2012 - 08:14 | 2434630 Super Macro
Super Macro's picture

And why not? Like Northern Rock in UK when a bank run starts it can snowball. Take BMW. It can borrow money near 2% for 5 years. This is the cheapest rate on record for companies like BMW to achieve in the bond market. Have a guess where BMW will sell its cars over the next decade (well not Ireland, not Spain, not Greece), as the public sector elite will have to make do with the 2007,2008, 2009, 2010, 2011 "vintage" ones they stole already. BMW will borrow at 2% or even better over the next 12-18 months. So what if the EURO collapses in a currency driven QE move. BMW will sell even more at a more competitive level to the new developed markets of Asia and LATAM and booming America. Do not listen to anythign from a banker. Buy top European stocks now that actually make things. Buffett and his mates are right behind you. What is coming in Europe is the buy of the century !!!! Forget about currency runs, bank collapses, property prices goign down, ALL completely and utterly irrelavant for the valuation and business of companies like BMW. And then what to do. Pour yourself a glass of cheap Italian, Spainish or Portugese wine and sit back and relax as all around you will be fixated with the micro crap that ZH et al concentrate on all day !!!!!!!

Thu, 05/17/2012 - 08:20 | 2434655 LULZBank
LULZBank's picture

Awesome analysis and strategy!!!

Im surprised why not so many of the people cant see the things the way you do. All productive assets and stocks are, soon will be even more so, on firesale prices. An opportunity of a lifetime indeed and smart people will be making a killing and becoming a millionaires in few years when global economies pick up and are back on their normal levels.

BTW, how many foodstamps would one need to buy a BMW. I just need this figure to put into my return forecasting model and get the total yield on my investments, and perhaps put that up as collateral or hypothecate it to get some more funding.

Thu, 05/17/2012 - 09:21 | 2434861 0cz
0cz's picture

What an amazing idea!  Lets invest in car manufactures that produces luxury automobiles that must run on 93+ octane with little to no impurities in the gasoline or they won't run.  A throttle position sensor costs $400 to replace and you have a 3,000 lb wagon you can draw with horses until you do. 

Intelligent people will be investing in a level of technology that is actually fucking sustainable and maintainable in the coming economic environment.  5 years from now you will have people driving 1970's pickup trucks with a carburator.  That is all people will drive because it is impossible to continue to manufacture and repair modern automobiles without high tech factories running around the clock cranking out highly specialized parts.  BMW are not sealed units.  They will break and you will never find the part you need to repair the car nor be able to manufacture the part yourself. Any luxury automobile. 

New automobiles are simply too complicated and unreliable to invest in.  It is pure stupidity. 

Thu, 05/17/2012 - 09:25 | 2434887 Dr. Kananga
Dr. Kananga's picture

Stellar advice, Super Macro!

I will alert my neighborhood finance minsters over in the 7-11 parking lot. Time to get cracking.

Thu, 05/17/2012 - 11:16 | 2435624 Hugh_Jorgan
Hugh_Jorgan's picture

PMs are about to go vertical again.

Thu, 05/17/2012 - 07:08 | 2434501 foxenburg
foxenburg's picture

If Spain is toast, what's Greece? 


A deep fried crouton.

Thu, 05/17/2012 - 07:12 | 2434507 tocointhephrase
tocointhephrase's picture

I was thinking egg, as its the first one to crack, muwahhahahaha

Thu, 05/17/2012 - 07:30 | 2434547 NoClueSneaker
NoClueSneaker's picture

Well, at least r german depositors without concerns. Especially if they still have an account at Commerzbank .... :-P

( Parisbus, SocGen, CredAgricole not to mention ). Bullish ....

Thu, 05/17/2012 - 06:55 | 2434477 rebelscum1967
rebelscum1967's picture


Thu, 05/17/2012 - 06:56 | 2434479 ivars
ivars's picture
GSR spike may be signalling the top in GSR

And at least "temporary" bottom in silver.

Of course, in late history GSR has moved in such way up about 6-10 as well, steep almost vertical line, but that happened during May 2011 and Septemnber 2011 silver crashes when silver price was starting to move down sharply, and continued to do so.

This time, its happening after long long silver price decline. So this top has very little chances to go up, and its turn would help silver prices to start growing faster then gold, or, if decline still continues, drop slower than gold.

Here is yesterdays close- superexponential shape characteristic for being near the top. Intraday, when that Globex start selloff hit yesterday, GSR even went over 57. So its lower a bit already, but its the shape that says more than intraday fluctuations:

Two "arguments" for why it could be so important to silver bottom:

Note, GSR previous top was spot on during previous silver price bottom  at December 29 2011- similarly also a silver price bottom after a quite long slide, a bit faster than current one, though.

But from the current  chart, even if its growing faster and faster, it is still possible for GSR to grow 1-2 days....At these points max amplitude is impossible to call, only that its very near.

Thu, 05/17/2012 - 07:17 | 2434511 LongSoupLine
LongSoupLine's picture's not on CNBS.

Besides, what does any of this have to do with Facebook?

Thu, 05/17/2012 - 07:25 | 2434533 ZippyBananaPants
ZippyBananaPants's picture

What exactly is this Facebook thing everyone is talking about?

Thu, 05/17/2012 - 08:02 | 2434604 PR Guy
PR Guy's picture

It's something on that interwebby thingy for lonely people who don't have or are incapable of getting a life.

Thu, 05/17/2012 - 11:49 | 2434926 Dr. Kananga
Dr. Kananga's picture

It's a scrapbook where one can keep all those faces that get ripped off trying to short this insane market.

Thu, 05/17/2012 - 06:57 | 2434481 Al Capowned
Al Capowned's picture

I think the most alarming thing here is that after 4 years of finacial rape, people actually still have there fiat money in financial institutions period!

Thu, 05/17/2012 - 08:24 | 2434667 LULZBank
LULZBank's picture

Wait till someone updates their Facebook status to: "I withdrew all of my 83.45 dollars from my bank today. LOL" and watch the trend catch on.

In no time everyone will be withdrawing everything from the banks and no one will know what they were doing it for.

Thu, 05/17/2012 - 09:16 | 2434834 Sauk Leader
Sauk Leader's picture

(thumbs up) Sauk Leader "likes" this

Thu, 05/17/2012 - 09:31 | 2434924 0cz
0cz's picture

I think it would be better if you got everyone using Facebook to stop using dollars for an entire day.  Much more carnage. 


Instant economic collapse if you got 500 million people to follow.

Thu, 05/17/2012 - 09:56 | 2435100 LULZBank
LULZBank's picture

I think we are onto something here, seriously!

Is it possible that the new financial and economic collapse would be driven by a Facebook trend?

You never know.

Thu, 05/17/2012 - 06:58 | 2434485 Alejandrito
Alejandrito's picture

Sorry for repeat me


All spanish bank are bankruptcy, all. The biggest real state bubble in history faces Spain.

Thu, 05/17/2012 - 07:03 | 2434493 buckethead
buckethead's picture


Thu, 05/17/2012 - 07:01 | 2434487 insanelysane
insanelysane's picture

I thought the Olympics wasn't starting for a few more weeks but apparently Spain just sprinted past Greece.

Thu, 05/17/2012 - 07:20 | 2434515 LongSoupLine
LongSoupLine's picture

Heck, that's nothing. Just wait till the bond yield pole vault event.

Thu, 05/17/2012 - 07:02 | 2434489 Inthemix96
Inthemix96's picture

I have been reliably informed by a close friend in the inner circle of a well respected and well known financial institution, that these fuckers don't know what the fuck is going on or what the fuck they should do about it.

Not to worry though, my good friend has informed me he will keep me updated on developments as they arise. Fuck me eh? Is this the best humanity is capable of???????

Fucking idiots.

Thu, 05/17/2012 - 07:02 | 2434491 Josephine29
Josephine29's picture

I read an analysis of Bankia's position last week which after today's events looks very prescient.

"Step Forward Bankia

The bank identified as being most in trouble by the IMF was Bankia. In case you are unfamiliar with it then it is an example of merging cajas together where the largest Caja Madrid subsumed 6 others. It got some 4.5 billion Euros of state support and the worst bad debts were spun off into the parent. I also note that it received what many organistaions with a bad track record get, a change of name. Just like the UK nuclear reprocessing plant Windscale which metamorphosed into Sellafield for the same purpose some years ago.

Apart from the name change the process above is oddly familiar to what happened to the Franco/Belgian bank Dexia last October and we know what happened next there. At the moment Spain’s government is claiming that it may have to inject only an extra 7 billion Euros of capital into Bankia and that it may do so in a way that reminds me of point six of my timeline for a bank collapse.

6. The relevant government(s) tell us that the bank needs taxpayer support but through clever use of special purpose vehicles there will be no cost and indeed a profit is virtually certain.

In case you are wondering it is contingent capital securities which are the new supposed super hero. It will not be long before the super hero develops feet of clay.

So Spain has a problem as everyone with any sense will realise that Bankia needs more that the 7 to 10 billion Euros of extra capital being mooted. even worse it will focus attention on the other Spanish banks which need capital."

Got it right didnt he?


Thu, 05/17/2012 - 07:05 | 2434496 Mae Kadoodie
Mae Kadoodie's picture

Typically, i'll use solvent entities to clean Greece stains off my bbq grille.

Thu, 05/17/2012 - 07:09 | 2434502 gatorengineer
gatorengineer's picture

Easing-off isnt going to work this time.......

Thu, 05/17/2012 - 07:06 | 2434498 Loukanika the r...
Loukanika the riot dog's picture

Cpl Jones: "Don't panic Captain Mainwaring"
BBC Dad's Army

Thu, 05/17/2012 - 07:46 | 2434582 reload
reload's picture

And you: whats your name?

captain Mainwaring "dont tell him Pike"

Thu, 05/17/2012 - 07:08 | 2434499 IMA5U
IMA5U's picture

Run with The Bulls! (sh1t)....


Thu, 05/17/2012 - 07:13 | 2434503 firstdivision
firstdivision's picture

Good to see the markets are going to force Ben's hand back on the keyboard for some Ctl+P action. 

We are approaching "easing" levels on the DXY and WTI.  I'm not going to sit short now, but not long either.  Think I'll wait for gold and silver to pullback a bit more from here then start accumulating.


Thu, 05/17/2012 - 07:10 | 2434505 gatorengineer
gatorengineer's picture

Serious question, will we see a US bank run before the election?

Thu, 05/17/2012 - 07:20 | 2434516 tocointhephrase
tocointhephrase's picture

We can only hope but I doubt it like 99.999% 

Thu, 05/17/2012 - 07:23 | 2434522 moonstears
moonstears's picture

Next week's lottery numbers Mega Millions please from the guy/gal who can answer that one. THX, in advance.

Thu, 05/17/2012 - 07:16 | 2434508 Poetic injustice
Poetic injustice's picture

I am sure all will be fine and Spaniards will learn from Greeks to take it in the ass *g*

Have not heard much about demonstrations or anything in Spain, that is big fail.

Thu, 05/17/2012 - 07:19 | 2434513 CryingBear
CryingBear's picture


Thu, 05/17/2012 - 07:22 | 2434520 Grimbert
Grimbert's picture

Shares now suspended


edit - 'were' suspended.

Thu, 05/17/2012 - 07:22 | 2434524 Al Gorerhythm
Al Gorerhythm's picture

Wayne Swan, Australia's treasurer said today that his government has made allowances for anything the world can throw at it because Australia is, well, special. He wants to raise the debt ceiling from $25o billion to $300 Billion, saying that it is necessary so as to make allowances for unforseen circumstances. Here is another expert debt enabler whose job it is to increase the amount of credit in the system and decrys naysayers, labeling them as odd and out of touch and just as loopy as those terrorist tea party members in the US. He claims that he on't have to draw down on that line of credit like they did with the last limit. Sound familiar? Now what could possibly go wrong. It's all working out just dandy for Spain. This Keynesian (dip)shit is world wide.

In other news, Aussies may soon be speaking Mandarin. A prominent Chinese "Defence Strategist" just warned Australia's foreign minister, (unelected) that they have to choose between the US and China as to who they should align themselves with. Australia needed to align themselves with a benevolent "grandfather" protector, in these "interesting" times, warned the Chinese.

The winds of change blows cold in the Pacific. Australia has just opened a new American base in Darwin and the Chinese aren't too happy about it and are making challenging overtures towards the status quo in the region, ie, Australia's and the US's long held friendship treaty has just been questioned with China telling Australia to pick a protector. The Chinese hold the strong hand, what with their reserves and gold holdings. Pick wisely Australia.

Thu, 05/17/2012 - 07:33 | 2434555 GeneMarchbanks
GeneMarchbanks's picture

Pertaining to your last point first, 'Australia' has had the issue decided for some time now, in case you don't already get it the Darwin base is part of the USA 'Pivot to the Pacific Century' which should make things a little more clear so far as ability to 'choose'.

As for banks, they're pretty much backed by government so you're 'all in'. The only thing Australia has going for it at this point is that there is room to work with when it comes to interest rates going lower to 'support' the shocks and you have [relatively] low government debt. Still, as a nation private debt is almost comically enormous.

Thu, 05/17/2012 - 07:33 | 2434557 Super Macro
Super Macro's picture

Australians picked Americans because they have similar traits. Smug, fat, lazy, always right, and complete and total triple leveraged banking, property, consumer indebted shi* hole. One question on Australia. How many Greeks live there ? One view of OZ is that its the PIIGS of Asia. AUD will collapse back again to 0.50, property will collapse 50%, and the big banks will implode with only the pension money left to bail them out (but as ALL of it is invested in OZ banks, that nest egg will also be sliced by 50%). OZ should hit China's BID now. If I was Xi or Li I would wait 6-12 months, what a great 2013 trade for the new leadership in Beijing, as its first trade. 

Thu, 05/17/2012 - 07:24 | 2434528 ohhhhhbaaaaahhh...
ohhhhhbaaaaahhhhhhhhhmaaaaaahhhhh's picture

Do you think people take cash out to hide it? 

Noh noh noh. 

Thu, 05/17/2012 - 07:27 | 2434539 Dr. Engali
Dr. Engali's picture

Some people like cash only transactions for gold, silver, and lead.

Thu, 05/17/2012 - 07:28 | 2434540 Bobbyrib
Bobbyrib's picture

Some do. I wouldn't consider it "hiding" your money, I would consider it taking possession..before you can't.

Thu, 05/17/2012 - 07:24 | 2434531 hedgehog9999
hedgehog9999's picture

If you all remember, the ONE thing that triggered the Bazooka bailouts in '08 was the bank run on CD's that ocurred one infamous day in September 2008.

You see , banks have Trillions in derivative exposure, probably trillions in bad loans, etc. but that all can be hidden under the rug for years, and continually papered over from time to time by Bernanke and Drahgi.

But, what they can't control is CONFIDENCE, when confidence collapses (which is what's beginning to happen in Greece and now Spain), the Ponzi Fractional banking system collapses, no LTRO or QE can mitigate a massive confidence collapse and therein lies the problem.

As somebody said in this thread , expect a massive worldwide transfusion soon to kick the confidence can a couple off years down......

I sold all my gold PM holdings about 2 months ago. Because of this I am seriously thinking of loading up again starting Today////////////////

Good Luck to all!

Thu, 05/17/2012 - 07:25 | 2434532 JackT
JackT's picture one said this shiz was going to overlap. It was suppose to be in proper linear-freaking-order.

Thu, 05/17/2012 - 07:28 | 2434541 Inthemix96
Inthemix96's picture

And another thing, have you got to be a complete and utter fucking idiot to get a job working in finance??

My studying in this vital trade has led me to believe that if your not a cunt, bastard or an arsehole you have to be verging on the braindead fucking imbecilic to work for a large bank.

Mind I could be wrong, my studying is work in progress so we will see with the passage of time if my thesis holds water.

Wasted talent eh? The fucking idiots

Thu, 05/17/2012 - 07:40 | 2434566 _underscore
_underscore's picture

Now don't hold back, ITM - what do you really think of them?

Thu, 05/17/2012 - 07:55 | 2434598 Inthemix96
Inthemix96's picture

Haha underscore, monkey see, monkey do eh?


Thu, 05/17/2012 - 08:14 | 2434631 _underscore
_underscore's picture

Of course I agree & it's always nice to see some proper Anglo-Saxon perjoratives in use. I don't think they are stupid, though - just completely brainwashed, wrt to what they actually do & the mechanisms/mindset employed.

Thu, 05/17/2012 - 09:29 | 2434905 _underscore
_underscore's picture

To whomever it was who downticked me - it's  what's called, erm, irony?   oh dear...

Thu, 05/17/2012 - 10:43 | 2435413 blunderdog
blunderdog's picture

I'm junking you ironically.

Thu, 05/17/2012 - 09:38 | 2434980 0cz
0cz's picture

Look around man...

You have to be a complete fucking idiot ( University of Phoenix Degree still required ) to work anywhere now.  Intelligent people, the few of them left, naturally alienate and make the other slave workers paranoid so they treat you like shit until you leave.  I think it has something to do with a primative defense mechanism that these people are regressing towards. 

The workplace isn't a nice place right now.  Everyone you work with is either; pissed off all the time, too stupid to function as what we once called human beings, or one of those shallow forever pre-addolecent kids who spend 90% of their waking lives texting or doing facebook shit on their cell phones.  I worked at a store for 3 months where every single employee there, including the management, spent 90% of their time at work doing something 'social' on their cell phones.  It is terrifying. 

Thu, 05/17/2012 - 07:36 | 2434542 Hannibal
Hannibal's picture

In context of Govts officialdom:

“I’m not upset that you lied to me, I’m upset that from now on I can’t believe you.”

-Friedrich Nietzsche

Thu, 05/17/2012 - 07:31 | 2434549 tim73
tim73's picture

This so funny. "Euro is going down"-talkjobs are actually HELPING Eurozone exporters...especially Germans. Short your heart out the eur-usd! Maybe even 1.15 is possible...that would be too good to be true!

I like these spring/summertime Euro blues! Nice boost to turnover in an otherwise quiet season. 

Thu, 05/17/2012 - 07:32 | 2434550 moonstears
moonstears's picture

"But, but, just buy some Facebook, and remain calm". A message from your friendly US banking interests. 

Thu, 05/17/2012 - 07:33 | 2434552 Let The Wurlitz...
Let The Wurlitzer Play's picture

They should try giving toasters to their customers, they might stay.


Thu, 05/17/2012 - 08:28 | 2434679 Treason Season
Treason Season's picture

To use in the shower?

Thu, 05/17/2012 - 07:38 | 2434562 Hannibal
Hannibal's picture

Load up on physical silver.

Thu, 05/17/2012 - 07:42 | 2434568 timbo_em
timbo_em's picture

Seriously, my ears bleed. Those stupid policymakers don't have the ovaries to call a bank run a bank run or a bad bank a bad bank. How on earth should these clowns be able to manage this astronomical crisis we're in?


Thu, 05/17/2012 - 07:47 | 2434585 LULZBank
LULZBank's picture

You are ofcourse free to express your opinions, but hate speech will not be tolerated.

Thu, 05/17/2012 - 08:32 | 2434695 timbo_em
timbo_em's picture

LULZBank, I'm sorry! It wasn't supposed to be hate speech rather a description of the total ridiculousness going on here on the old continent. Unfortunately, it's no longer possible to edit my comment.

Thu, 05/17/2012 - 08:40 | 2434719 LULZBank
LULZBank's picture

No worries, I'm sorry for forgetting to put my /Sarc on indicator :)

Thu, 05/17/2012 - 07:45 | 2434581 LULZBank
LULZBank's picture

Its like when you catch fish. You lead them all into one direction via various tactics and then ultimately the whole hordes of them to the spot where you have casted your net for the BIG catch. Swiss, US and UK banks?

Thu, 05/17/2012 - 08:08 | 2434601 Monedas
Monedas's picture

I can call a spayed a spayed....genital mutilation has not delivered on it's promise....castration and spaying should be encouraged !  They cut off a thief's hand....don't they ?       Genital mutilation for first Jon Corzine !   Tongue snipping and tucking for repeat lispers like Barney Frank....designer tongue !  Mugabe merits full castration and glans removal !     Monedas   1929    Comedy Jihad Corrective Plastic Surgery    PS:   Why do they call it a run....if everyone is just standing in line ?  Did you ever notice that Banks don't have back doors ?

Thu, 05/17/2012 - 08:02 | 2434603 Snakeeyes
Thu, 05/17/2012 - 08:19 | 2434648 sudzee
sudzee's picture

God has spoken, no bank run right now:


Thu, 05/17/2012 - 08:20 | 2434651 web bot
web bot's picture

So now we have 2 canaries in the coal mine:

  1. The results of the upcoming Greek election: if far left/right gain (as opposed to protest vote in last election), this is an ominous for the rest of Europe.
  2. Which country will first see their military take over the seat of government? I kid you not, this is coming to a European country sometime soon.


Thu, 05/17/2012 - 08:22 | 2434661 Vince Clortho
Vince Clortho's picture

Paging Ben Bernanke for a special press conference.

Thu, 05/17/2012 - 08:31 | 2434692 jamesbbkk
jamesbbkk's picture

Won't depositors soon run towards nationalized banks?

Thu, 05/17/2012 - 08:33 | 2434697 dbomb12
dbomb12's picture

Soros is licking his chops

Thu, 05/17/2012 - 08:36 | 2434704 Snakeeyes
Snakeeyes's picture

I posted the Bankia stock chart here. Wow, they is the proverbial Nestea plunge!

Thu, 05/17/2012 - 08:56 | 2434774 Olympia
Olympia's picture

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...


Global Debt Crisis


Thu, 05/17/2012 - 09:05 | 2434801 debtor of last ...
debtor of last resort's picture

Soon we cannot buy phyz anymore i think. Hurry.

Thu, 05/17/2012 - 10:11 | 2435181 Bubbles and Busts
Bubbles and Busts's picture

Greece has been experiencing a slow motion bank run for the past couple years, as the above graph shows. Deposits in the country are down more than 30% during that period and updated data for the past few months may show this trend accelerating. The declining level of deposits puts pressure on banks to sell assets and restrict credit, exacerbating deflationary pressures in the economy.

As Dorman points out, recognition that Greece may be covertly pushed off the Euro should/will spark fears amongst depositors within other peripheral countries. The ECB/EU/IMF have been fairly successful, to date, at kicking the can down the road. Sadly this extra time has not been used to enact effective measures for resolving the underlying problems. Further attempts to buy time should be expected, but as these bank runs accelerate it will become increasingly difficult to stem the tide. Nearly 3 years after the first Greek bailout the Eurozone crisis may finally be approaching the endgame. Despite the enormous costs to a disorderly dissolution, I remain unconvinced that politicians will overcome their differences in some type of “grand bargain.”

Thu, 05/17/2012 - 10:46 | 2435434 blunderdog
blunderdog's picture

Makes sense, I don't see why a government has to worry about market cap.

Thu, 05/17/2012 - 10:57 | 2435512 publius999
publius999's picture

Not that big a deal (if illegal) to replace that BMW fuel-injection system with a pair of Webers,  or whatever else you can find at the junk yard.    Might have to mess with the jets a bit and fabricate an adaptor,  though bolt-ons are available,  IIRC. 

In the old days,  this was a standard switch for Porsche 914's when the injection system inevitably went south.   Same with replacing the BMW ignition system,  though these are generally pretty reliable.   Any society that cannot provide BMW-replacement parts is probably not much concerned with enforcing  the antipollution laws.

Thu, 05/17/2012 - 11:25 | 2435678 innertrader
innertrader's picture

malikai -  I've been reading about Greece for years and that just capped it off!!!  Very funny!  I almost blew my coffee all over my monitor!

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