The Market Forces Always Win in the End - Russian Money Fleeing Cyprus at an Alarming Rate

[AuH20]

Human behavior cannot be altered. Money will go where it is welcome. Don't sleep easy plutocrats.

http://www.zerohedge.com/news/2013-03-25/russians-are-outtahere-cypriots-killed-their-country-one-day


It appears the Cypriots (or more clearly the European leaders) do not appreciate the extent to which Russia has propped up the local economy. “When the Russians leave who is going to stay at the Four Seasons for $500 a night? Angela Merkel?” one wealthy Russian asks rhetorically, as The FT reports, they are receiving a deluge of overseas phone calls from helpful Swiss bankers looking to swoop up the deposit transfers.

[sailingaway]

Apparently they are talking about making the infrastructure investments in some of their own islands to create an 'off shore zone' they would treat sort of like China does Hong Kong, from what I got out of what they said about it, as a result of the Cypress event. Cypress will not be the same for a long long time, losing a huge source of investment and expenditure like that, quite apart from the losses to the inhabitants from their savings.

[AuH20]

As each domino falls one by one, we're getting closer to the precious metal breakout. Cypress was an investment sanctuary that needed to be broken from the ECB's perspective. Pretty soon, all other self-preservation options will be exhausted. Sure, U.S. equities appear sound but for how long??

[sailingaway]

As each domino falls one by one, we're getting closer to the precious metal breakout. Cypress was an investment sanctuary that needed to be broken from the ECB's perspective. Pretty soon, all options will be exhausted. Sure, U.S. equities appear sound but for how long??

Equities are going up in part BECAUSE currencies aren't the havens people want imho. Gold is still double what it was in 2007 while the stock market has barely broken above where it was then. Mutual funds are the only real 'commodities' many ordinary people know how to get into.

[AuH20]

https://encrypted-tbn0.gstatic.com/images?q=tbn:ANd9GcQAb_vYyL3j-JYMb--DHvRkyP2ekYKJ9-_oruKRcLW3w7G94pWOsg

http://1.bp.blogspot.com/-qvS0dwqEHck/Twtm7ibUu5I/AAAAAAAAAZs/TMr2alQLRuY/s1600/wargames-quote-not-to-play.jpg

[talkingpointes]

Equities are going up in part BECAUSE currencies aren't the havens people want imho. Gold is still double what it was in 2007 while the stock market has barely broken above where it was then. Mutual funds are the only real 'commodities' many ordinary people know how to get into.

If gold has doubled and the market is where it is, that means the market technically is at 7,000 in gold value. Essentially just making gains on theoretical inflation.

[jbauer]

If gold has doubled and the market is where it is, that means the market technically is at 7,000 in gold value. Essentially just making gains on theoretical inflation.

We don't have inflation, ask the government.

[sailingaway]

Cyprus News ‏@cypnew now
Sources say that 2 large loans where given free by laiki 600m to one person and 175m for vatopedi monastery #Cyprus

https://twitter.com/cypnew/status/316254474194784256

Laiki is the zombie bank being wound down.