New Zealand

[cottonpicken]

Proposing doing the same as cyprus
Wouldn't have believed it or posted it 10 days ago,now???


http://investmentwatchblog.com/cash-confiscation-begins-now-new-zealand-is-planning-a-cyprus-style-bank-deposit-confiscation/

[boarderbloke]

I thought NZ had straighten things out with their debt and finances a number of years back?

[furrowtickler]

Monkey see - monkey do. Hope this does not get carried away.

[boarderbloke]

When will China demand something similar from the U.S.A. Not 10%, but lets say maybe 0.5%, maybe 1.5%

The U.S. government might even go along with the idea, think of all the cash that would come off the sidelines and out of savings accounts.

[cottonpicken]

Havent paid attention to NZ,would have quesstimated
them to be "better off".

Have read where this is a "bail in" rather than bail out
via qe,with depositors re-capping banks rather than
central banks and governments.

Who the hell knows.

[furrowtickler]

TBTB need money to flow, not sit in Bank Accounts as savings. Scary how they can just pry that money out even when people try to stuff it away - legal or illegal. Better off to put it under the mattress with the interest rates - at least it would be safe for a while.

[mcfarms]

You think they don't do that with Ag in Canada , If you have more than 10 percent of your net worth in cash in teh bank they can deem you a non farming and tax you way higher. Which is horseshit if you are trying to save to expand. On one habd they are telling you to save and watch debt and on the other hand they are telling you that you cannot save.

[cottonpicken]

Zero Hedge has the latest Cyprus update - There is
no parliamentary support in Cyprus for any bail-in
deal. Tyler Durden begs the question:



Neither we, nor anyone else, has any idea what comes
now.

The folks at FTAlphaville have some thoughts on the
state of play:


A bank run spreading to Spain looks a non-starter in
the short term.

The risk of any wider bank run looks pretty small so
far, with market reaction relatively benign.

I've been following the Press coverage of Cyprus, the
talking heads are saying that Cyprus is a manageable
issue. Nothing to worry about at all.

I'm going to disagree with FTA and the TV folks. The
chances of a bank run have never been higher. Tyler's
right. We're looking at a black hole.



The "Other" scenario for Cyprus is a shell shocker.
Forget the shareholders or the senior bond guys -
they will end up with Dick's hat band. Those Russians
who were at risk of losing as much as 15% of their
deposits - They get zip too. At best, they are getting
an IOU. That IOU will have a value of 10 cents on the
dollar.

Those small depositors that were going to get hit for
an unfair loss of 6% now face a vacuum. Their bank
statements may not reflect a loss of principal, but
they won't be able to withdraw a dime from those
accounts. The local banks will remain closed, when
they do reopen those deposits will be converted to
some new currency. It's possible that the new
currency will be the Turkish Lira. You thought the
poor folks in Cyprus were getting a bad deal on
Monday? Wait till Friday before you pass judgement.

What happens if Cyprus does a "drop out" of the EU?
That result immediately makes a lie of Mario Draghi's
words that the Euro was Uber-Ales. This is precisely
what Super Mario said "would never happen".

If Cyprus goes turtle and leaves the Euro, the credit
spreads on peripherals will widen. This sets up a
market "call" on the ECB. But remember, for Mario
Draghi to give the market the "put" that it will
demand, the government's of Spain and Italy will be
forced to get down on their knees and beg the gods
in Brussels and Berlin for a helping hand. To do that
means that they would have to have very harsh terms
imposed on them. An IMF team would run the
finances of the countries involved.

Given that there is zero chance that Italy and Spain
will do the necessary begging, the value of the
promised Draghi "put" is now zero.



There is a chance that something can be done to stop
what looks like a slide into an abyss. Those chance
are now well below 50-50. The markets/seers are
calling for a soft landing, while at the same time that
outcome is looking less and less likely. The markets
seem poorly positioned for what could result in a
crisis. And this story is running at hyper speed. That'
a very bad combo of events. Seat belts on - Impact
Imminent!

Bruce Kastring



I definatly agree with the "hyper speed"part

[boarderbloke]

Cyprus can't be in that much debt,,,because a single Russian oil co. is willing to take over all their debt in exchange for the natural gas rights. How simple would that be! Maybe Errol is right, gas prices may very well be going up, It's been decided!

[URL="http://www.weeklystandard.com/blogs/report-russian-company-offers-bailout-cyprus-exchange-gas-exploration-rights_707768.html"]Russian Oil Co. Offers to Bailout Cyprus[/URL]

[ado089]

I'm safe if the government takes what I have in the bank...I'd be happy with 10% less debt ha ha.

[sumdumguy]

Looks like the ECB is guaranteeing Cyprus'
liquidity.

[BTO_farmall]

Lock and Load, TILL THE CASKET DROPS!!!!!!!!!!!!!!!!!!!!

[BTO_farmall]

Lock and Load, TILL THE CASKET DROPS!!!!!!!!!!!!!!!!!!!!

[ASRG]

cotton: What is this going to mean for us? What will happen that will directly affect us in Canada?

[cottonpicken]

I dont really know,i just make estimations.

A war makes sense in classical thinking but i think we
are past that.

Everything is to integrated,and now people talk to
people in every corner of globe instantly.

Its still a war but its economic.Which is what war
really is.

The thing that scares me is-why isn't the canadian
dollar going through the roof?Why havent some of the
big boys bought it up?

One of the top guys i follow says a global trade
balance mechanism backed by gold(and the other
metals)is in place and ready to go.Multiply everything
buy 5 for ballpark figures on all hard
assets.Cows,land,grain,oil,gold.....