Bank run on Monday/Tuesday

Very real concern in some European countries.

Oh, So I can expect lines to form at the ATMs Monday or Tuesday then.

Will the DOW drop 4000 points?
http://streeteasy.com/nyc/talk/discussion/28176-dow-7000-
http://streeteasy.com/nyc/talk/discussion/29923-djia-to-fall-4000-points-in-2012-granville-says

And look at how the news outlets frame it:

"Cyprus's government was working on a proposal to soften the blow of a bank deposit levy"

http://www.reuters.com/article/2013/03/18/us-cyprus-parliament-idUSBRE92G03I20130318

O benevolent government, how gracious of you to 'soften the blow' by stealing less than you had initially proposed!

This is absolutely disgusting. The government of my own adopted country (Japan) has done just about the same thing, devaluing the yen by 25% in just four months and thus stealing from us on both ends: our savings won't buy as much foreign currency as it always had, and import-related inflation is sure to devalue what we earn in the future as well.

FDR confiscates gold; Zimbabwe makes their dollar worthless; Cyprus steals from your bank account. What's next, G-men with guns breaking into your house and taking 10% of your possessions at gunpoint?

(Full disclosure: I have $110,000 in a bank account; more than two years' pre-tax wages. It had been $120k four months ago, meaning that even four months of aggressive savings has not been enough to replenish what the government stole.)

@TripleZero yep i've been trying to convince my friends that inflation = government theft for years....they all run around telling me their apartment is now worth more.

I'm having trouble understanding how a USD-denominated savings account lost 8% in four months because of a change in Japanese monetary policy. Of course there's no mention of the 34% climb in the Nikkei in the last four months either.

Flarf, it isn't USD-denominated. I had ¥9,000,000 when it was 77 yen to the dollar and today have ¥10,500,000 when it's 95 yen to the dollar.

Historically one US dollar can exchange for over 100 Yens. It is just getting back to its more normal exchange rate. I would say the 1 US to 77 Yen after a major earthquake in Japan was abnormal. the country would need to spend a lot to reconstruct. If the rate stays at 77 Yen to 1 US dollar, then the Japanese government would be under spending.

"Historically one US dollar can exchange for over 100 Yens."

Historically, sure, but in the past decade the USA has seen inflation of 20-40% in total, whereas Japan has experienced zero. The purchasing power index thus remains the same if the dollar falls 20-40% against the yen, which it did. Now we've got the yen-dollar rate back where it was a few years ago, but without the yen having lost purchasing power. Guess what's coming next for Japan's CPI. Yen savers are ruined on both ends.

"20-40%". Ummm...yeah. Inflation expert there.

"Ummm...yeah. Inflation expert there."

If I looked up the exact CPI increase I would get as angry and depressed as I am watching the yen devalue itself, so I went with an estimate. 2-3% per year, compounded, except 2008 which was higher and 2009 which was negative.

but, of course there is a significant difference between 20% inflation over 10 yrs and 40%. the 20% is probably about right but doesn't make for as much indignation so why not exaggerate.

Won't happen. Looks like people thought better of it. Brussels looked at Spain, Putin, etc and they will renegotiate.

Hmm no bank run today. Tomorrow?

indignation, how exciting for C0lumbiaC0unty.

are you the sheriff of greensburg?

or is it the sheriff of hunters dale?

C0000lumbia C0000wnty!

is that the extent of your contribution?

h000ray h00ray c0lumbia c0unty!

why?

Why?
Well it's miserable and snowing outside. The sidewalks are slippery. So, c0ngratulations, this is your evening!

why do you think that SE lets you run wild?