Sunday, March 17, 2013

Bad News in Cyprus

Well, it is officially hitting the fan. Today it was announced that the Eurozone has ordered Cyprus to take 7 to 10% of everyone's bank accounts in order to get a bailout for their banks. They have a bank holiday till Wednesday and people cannot do anything to get their money out. If they do not get the bailout then they will default on their debt and if they do get the bailout, there is a good chance they will default in May anyways.

As a consequence of this, stocks are falling across the globe. There is also a very good chance that we will see bank runs in other countries such as Italy, Greece, Spain and Ireland. This may very well lead to the currency collapse of the Euro and the Dollar. I recommend that all of my readers keep an eye on the stock market tomorrow.