Rumors and news continue to play but some slight weakness after-hours (Treasuries at session highs) suggest fears might have legs. While the Cypriot government submits its bank restructuring (good-bank / bad-bank and capital controls) and Solidarity Fund (CCOs) [2], there will be no vote until tomorrow morning Europe time.
- *CYPRUS SUBMITS LAWS ON CAPITAL CONTROLS, SOLIDARITY FUND
- *CYPRUS SUBMITS LAW ON BANKING REFORMS, SPEAKER SAYS
- *CYPRUS PARLIAMENT TO DISCUSS NEW LAWS TOMORROW, CYBC SAYS
All of this after rumors of a 'rejection of all Cyprus government proposals' by Russia was the talk on desks and that more than a few Cyprus MPs believe the bank bill is too strict and needs more discussion. The ECB/ELA deadline looms with the path/hurdles now "Cyprus discussion" - "Cyprus vote" - "Troika analysis" - "ECB / EU Agreement" - and theoretically find a (non-Russian) funder for the CCO [2] - before Tuesday's European open. Stay long Brussels and Nicosia caterers.