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from La La Land.

...people will be able to move their money out of the country on Tuesday after banks re-open.

They are INSANE.  With electronic transfer systems Cypriot banks will face a run by depositors 2.5 seconds after they open on Tuesday and will be insolvent 10 seconds after they open.  

She believed in nothing; only her skepticism kept her from being an atheist. -- Jean-Paul Sartre

by ATinNM on Sun Mar 17th, 2013 at 02:02:04 PM EST
[ Parent ]
Illiquid.

If they are insolvent, then they already are.

- Jake

Friends come and go. Enemies accumulate.

by JakeS (JangoSierra 'at' gmail 'dot' com) on Sun Mar 17th, 2013 at 02:09:03 PM EST
[ Parent ]
How about illiquid and insolvent?

She believed in nothing; only her skepticism kept her from being an atheist. -- Jean-Paul Sartre
by ATinNM on Sun Mar 17th, 2013 at 02:14:16 PM EST
[ Parent ]
I suppose that the rational response in the southern parts of the Reich would be a bank run. But I very much doubt that will happen in a large scale.

I often times wonder if people are not getting what they deserve: with their complacent behaviour towards the gangsters that are in power. Not to say the belief that "that will not happen here" (maybe the Greeks will relate to Cyprus, but west from there? I doubt).

For various reasons, I would LIKE to see a bank run in the South: that would suggest people are thinking and being pro-active. Also, it would force a change in the policy of destruction currently ongoing. Granted, in the short run it would be bad, but I am not sure in the long run...

by cagatacos on Sun Mar 17th, 2013 at 02:25:25 PM EST
[ Parent ]
The small depositors aren't the immediate Trigger Point problem. ECB is risking Capital Flight:

...occurs when assets or money rapidly flow out of a country, due to an event of economic consequence.

by a small number of trans-national large depositors which could have serious (Read:  ah-YEE!) negative  effects and impacts on the $700 TRILLION global derivative market.

She believed in nothing; only her skepticism kept her from being an atheist. -- Jean-Paul Sartre

by ATinNM on Sun Mar 17th, 2013 at 02:44:05 PM EST
[ Parent ]
 
the $700 TRILLION global derivative market

The tail that wags the world could get rather active next week.

"It is not necessary to have hope in order to persevere."
by ARGeezer (ARGeezer a in a circle eurotrib daught com) on Sun Mar 17th, 2013 at 02:53:45 PM EST
[ Parent ]

There were fears of a run on deposits by Russian, Greek and British account-holders who are estimated to control almost half the €68bn of deposits in the Cypriot system when the system reopens.

All if which had good reason to keep their money in Cyprus (as opposed to, say, in Germany) and no obvious other place to go (although the inconvenience of the other places will be less when compared to Cyprus itself, now, presumably)

Wind power

by Jerome a Paris (etg@eurotrib.com) on Sun Mar 17th, 2013 at 02:52:43 PM EST
[ Parent ]

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