In partnership with CBSSports.com
Online Now 676
The Web's No. 1 forum for coverage and discussion of Terps sports
Visitor discussion of University of Maryland and college sports
A place for lively discussion for all other sports unrelated to Maryland athletics
Feedback for IMS and 247Sports
You have no favorite boards.
The most viewed topics.
The most replied to topics.
The most up-voted topics.
The most down-voted topics.
The most up-voted posters.
The most down-voted posters.
The most followed posters.
I'll take any compliments I can get from you Alex, you are truly the man behind the curtain on anything and everything.
I'm just sincerely slightly in shock. You read! How can you not have read any of the dozens of recent articles that point out that this is not just a Cyprus problem???
What about the political ramifications? Do you not acknowledge that Cyprus getting the boot from the Eurozone might just be the final nail in the coffin for other Mediterranean countries leaving? Or would you say, "Oh no big deal!" to that as well???
Oh no shoot me.
I agree with Alex on something.
This post was edited by bigturtle 13 months ago
For such a time as this.
Below are more details from Reuters on the plan:
It will mean that Popular Bank of Cyprus, the island's second largest bank which is also known as Laiki, will effectively be shut down.
Deposits below 100,000 euros in Laiki will be transferred to Bank of Cyprus, the country's largest bank. Deposits above 100,000 euros, which under EU law are not insured, will be frozen and will be used to resolve debts. It remains unclear how large the writedown on those funds will be.
No charges will be incurred against any Cypriot bank account with less than 100,000 euros in them, the officials said.
Because the process will be treated as a bank restructuring as opposed to a nationwide "tax" on bank deposits, it seems that the plan will not be subjected to another vote in the Cypriot parliament, which on Friday passed new laws enabling them to navigate the restructuring process more easily.
The Eurogroup press conference is now underway.
Press conference underway.
40% haircut on deposits over 100K Euro, along with Bondholders getting completely screwed.
that's some plan.
Good lesson for everyone in America, know the FDIC coverage limits on all of your accounts.
Going to be some repurcussions from Russia at some point in time, guy on CNBC this morning said they control a lot of natural gas and petroluem flow that they can manipulate.
That's so weird! I pointed this exact thing out in the other thread while you and others were calling me stupid! SO weird!
Can't look at these things in a vacuum. If the Russian oligarchs, who control gas and oil supply to all Europe, basically, get pissed off, it's bad news for the entire continent.
And you can bet that the oligarchs in Russia are pissed off at having their money basically expropriated by the Western Europeans and their financial interests.
Damn board cliques. So annoying.
Why would this be a bad thing? They should leave the Eurozone.
Definitely disagree. You don't want more instability in the Eurozone than you already have. Several countries (that actually matter) are barely hanging on as it is. It's not going to take much for a politician in one of these countries to run and win on a platform that is anti-Europe and pro-market reforms through the use of monetary policy.
And a collapsing Eurozone is not something any of us want to see very much. Will be very bad for the US economy.
This post was edited by alexterp 13 months ago
"template" for future says Dutch finance minister
This post was edited by terp11 13 months ago
The Russians have already withdrawn their money.
Also LOL @ anyone trusting FDIC. When we have our banking crisis who will the Govt bail out the banks or the depositors?
Yesterday, we first reported on something very disturbing (at least to Cyprus' citizens): despite the closed banks (which will mostly reopen tomorrow, while the two biggest soon to be liquidated banks Laiki and BoC will be shuttered until Thursday) and the capital controls, the local financial system has been leaking cash. Lots and lots of cash. Alas, we did not have much granularity or details on who or where these illegal transfers were conducted with. Today, courtesy of a follow up by Reuters, we do. As it turns out, the Russian oligrachs this whole operation was geared to punish, may have used the one week hiatus period of total chaos in the banking system to transfer the bulk of the cash they had deposited with one of the two main Cypriot banks, in the process making the whole punitive point of collapsing the Cyprus financial system entirely moot.
Who would deposit money in Cypriot banks now? Aren't they all effectively dead?
Pretty sure the Eurozone is done. It's just a matter of time. Better that they break up now and get it over with since they're already trying to confiscate deposits. It's a much better thing for the long run for these nations to regain their sovereignty vs. continue being dictated to by a bunch of bureaucrats who clearly don't give a shit about the citizens of Europe.
This is the kind of thing that I can't believe people around here say.
In some kind of fantasy world, you might be totally correct, and yeah, it might be done already.
But we do NOT want it to happen. It would be horrible for us in the United States.
Why? Because we might have a short-term downturn in the economy? Who cares?
Maybe I'm not fair by grouping you in with others, but I see people argument against change/reforms all the time because something remotely negative might happen. It's why we bailed out the auto industry. It's why we socialized the risk of banks that should be out of business (and their management in jail). It's why we can't even cut a couple bucks from our deficit.
I don't know when everyone suddenly lost the ability to tolerate any sort of pain, but we're truly fucked if it stays that way. The nanny-state and security-state grow larger.
In this specific instance, you're arguing against European countries (and their people) regaining the power to decide their economic/financial future. You're arguing for the status quo, a retention of power by unelected officials who are removed from the will of the people. You're arguing against democracy.
Do you get it yet? They've got you twisted.
Essentially, nobody wants to tolerate some short-term pain which would help our health long-term.
BTW, we've already got this going on here in the US. It's called quantitative easing. It's just a different mechanism for doing the exact same thing. Government steals not our physical dollars, but our buying power every time the Fed prints another dollar and uses it to buy a government bond. But for some reason, here it's a good thing, but in Cyprus it's a bad thing.
Banks set to re open Thursday
A British security firm that transports cash for Cypriot banks is working round the clock, sending teams out with police protection to stock bank machines and readying guards for when banks reopen on Thursday.
The world's largest security firm, G4S, moves cash and will provide guards for Cypriot lenders including Bank of Cyprus and Cyprus Popular Bank, the two biggest, which are to be combined and see large depositors' accounts frozen under a bailout agreed at the weekend.
Security firm is working round the clock to stock Cypriot bank machines and readying guards.
Agree with all but this. The government bailed out the UAW through GM. Ford never took a dime of government money.
this ought to be interesting.
Cyprus depositors can only withdraw 300 Euros/day, with limits on their credit card usage as well.
While there's no doubt that this is an effort to prevent an all out run on the 2 banks, I am also sure that it won't work in the long run (as stated above, who the hell is going to bank there in the future).
Also, regarding insurance, while the Banks didn't seize accounts under 100K Euro, they certainly could have, and would have, had it been necessary.
Insurance only provides against a bank failure, it doesn't protect against a government levy, or tax (which is what this is). So, LOL at FDIC providing anything of value should something like this ever happen here.
I would definitely have some concerns if I had sizable deposits in Portugal, Ireland, Italy, Greece, or Spain. In fact, I wouldn't have sizable deposits in any of those countries. You already have the head of the Euro stating that this can be a template going forward, and all of the above have major issues that haven't been dealt with fully.
This post has been edited 2 times, most recently by terp11 13 months ago
good article on the restrictions:
Ezra Klein's pithy summary of the Cypriot crisis:
"Here’s the situation in three sentences: The country’s banks were using Russian deposits to buy Greek bonds. The Greek bonds went bad, and the Cypriot banks lost a bundle. They now need a bailout from their euro zone partners, but it’s tough to convince German taxpayers to pony up if they think the money is really going to Russian oligarchs."
While I have my doubts about whether the Cypriot banking crisis mushrooms into a full-blown financial crisis, the whole thing kinda does sounds like the backstory for a Guy Ritchie movie - if only there were a U.K. angle.
Socializing bad behavior by banks on a national scale! Liberal governments at work - for not letting their fraudsters take the fall.
Hey, little guy (worldwide, now), how is this fraud working out for you?
247Sports In partnership with CBS Sports