Any contgion from Cyperus?
- Thread starter nottyboi
- Start date
I hold an account with a forex trader...based out of cyprus..not much in it..but I talked with my contact over there and everyone is running scared right now..pulling everything they can out....What a fucked up situation it has become......
It looks like the Cyprus situation will be contained for at least the next few months. Slovenia will be Cyprus the sequel. Cyprus will be pissed if Slovenian depositors don't get hit, and I doubt there are a lot of Russian depositors in Slovenia to steal from this time.
It's the eurozone, an endless series of lurches from screw-up to screw-up. It's always "What's next?"
It's the eurozone, an endless series of lurches from screw-up to screw-up. It's always "What's next?"
Cyprus changed official Euro government policy to, "All your wealth it belongs to us".
When Spain or Italy go under... there will be no containing the damage.
How can you read an article on Cyprus, have people point out your spelling mistakes, say there is only one, then repeat it again.
The country is called Cyprus.
Cyperus is a family of plants.
Picture this scenario wherein your deposit in a regular saving account
with RBC or CIBC of less than $100k was going to take a hair cut of 37.5%
in a bank run. Imagine how you'd respond when your bank told you losing more
than one third of your saving is better than losing it all. This in principle should
not happen as saving up to $100k is guaranteed. The worst case scenario
would be you taking government's bailout money printed out of thin air as a
compensation. Beware that by the time you receive your money the loonie
will likely already have dropped big time in the world currency market.
So you'd keep your saving but you won't likely trust any of the big banks
anymore. A financial crisis like that in Canada is too small to trigger a global
economic collapse but could be big enough to shatter confidence on
fiat money in less than solid economies in the developed world which
means the U.S. and nearly all the European nations. Value of fiat money
is entirely based on confidence and when that confidence vanishes all hell
break loose.
However improbable the above doomsday scenario inflation is
on the horizon IMO. No need to worry about safety of your deposits
in the meantime. But for your finanicial future diversify your savings
into investments that offer protection against erosion of your wealth
amidst the ongoing global debasement of fiat money. That includes
inflation-linked bonds, quality high-yield bonds, dividend stocks of solid
business that would do well in a downturn. Also remember the banks cannot
take away clients' hard assets. Consider buying some silver bars and
put it away in a safety deposit box. Sooner or later each and every farmer
in India and Bangladesh will have to plough their paltry saving into silver
to protect their wealth against rising food and fuel prices.
with RBC or CIBC of less than $100k was going to take a hair cut of 37.5%
in a bank run. Imagine how you'd respond when your bank told you losing more
than one third of your saving is better than losing it all. This in principle should
not happen as saving up to $100k is guaranteed. The worst case scenario
would be you taking government's bailout money printed out of thin air as a
compensation. Beware that by the time you receive your money the loonie
will likely already have dropped big time in the world currency market.
So you'd keep your saving but you won't likely trust any of the big banks
anymore. A financial crisis like that in Canada is too small to trigger a global
economic collapse but could be big enough to shatter confidence on
fiat money in less than solid economies in the developed world which
means the U.S. and nearly all the European nations. Value of fiat money
is entirely based on confidence and when that confidence vanishes all hell
break loose.
However improbable the above doomsday scenario inflation is
on the horizon IMO. No need to worry about safety of your deposits
in the meantime. But for your finanicial future diversify your savings
into investments that offer protection against erosion of your wealth
amidst the ongoing global debasement of fiat money. That includes
inflation-linked bonds, quality high-yield bonds, dividend stocks of solid
business that would do well in a downturn. Also remember the banks cannot
take away clients' hard assets. Consider buying some silver bars and
put it away in a safety deposit box. Sooner or later each and every farmer
in India and Bangladesh will have to plough their paltry saving into silver
to protect their wealth against rising food and fuel prices.
