Sunday, March 24, 2013

The mouse that roared

Apparently Cyprus stood up to the European bankers, at least to some degree. Reports are that bank deposits under 130,000 USD will not be tapped to pay for the crooked bankers. The question is what other sanctions will be placed on the tiny island. The IMF tried to simply take the whole works as they've done in the third world for the past 30 years. The euro is likely doomed, and good riddance.

The USD has been similarly abused by the banksters, so we are likely in for a wild ride at some point. These are those interesting times that the Chinese philosophers have always warned about. www.prairie2.com

3 comments:

Ronmac said...

Apparently there's a new school of thought circulating among banking circles that holds that when gov'ts are no longer willing to bail out banks, losses are to covered by the bank’s shareholders and creditors.

And here's the kicker. The term "creditors" is now being expanded to include depositors.

You can read about it here:

http://www.counterpunch.org/2013/03/22/the-battle-of-cyprus/

JP Morgan apparently has been gambling heavily on the stock market with depositors funds. So don't be surprised if they attempt something similar here.

Time to make banking boring again.

Clandestine Johnson said...

@Ronmac,

JP Morgan made out like a bandit (should that read, "like bandits"?) On the WAMU bankruptcy. Thay received the assets, wrote off all the crap loans issued by the oversight-free zone formerly known as WAMU, kept all the goodies and essentially got paid to take over the bank. There is no fear amongst the banker, nor should there be. No one is ever prosecuted because either deregulation removed barriers to fraud, regulators are former bank employees, AUSA's are hoping for big paydays when they land with civil firms and banks down the line and we are, on the whole, too complacent to raise our heads and bleet in protest.

Intersting times indeed.

Anonymous said...

JP Morgan was playing with compound derivatives with a charactor called the "whale" in England. Recently customers sued because the derivitives in question were sold to them and JP Morgan was buying credit default swaps betting against the same derivitives they sold to the customers. the credit default swaps failed to pay off for unknown reasons. CEO Dimond could not explain any of this. Sound Familiar? At first the bank said they only lost 3 billion dollars but they did not count the loss of income from the lost assets. the new total is 6-9 billion dollars.