EU floats worst-case plans for Greek euro exit

[pmbug]

Hat tip to Graham Summers via email:

European finance officials have discussed as a worst-case scenario limiting the size of withdrawals from ATM machines, imposing border checks and introducing capital controls in at least Greece should Athens decide to leave the euro.
...
"Contingency planning is underway for a scenario under which Greece leaves," one of the sources, who has been involved in the conference calls, said. "Limited cash withdrawals from ATMs and limited movement of capital have been considered and analysed."

Another source confirmed the discussions, including that the suspension of Schengen was among the options raised.

"These are not political discussions, these are discussions among finance experts who need to be prepared for any eventuality," the second source said. "It is sensible planning, that is all, planning for the worst-case scenario."

The first official said it was still being examined whether there was a legal basis for such extreme measures.
...

More: http://in.reuters.com/article/2012/06/11/eurozone-greece-capital-idINDEE85A0C920120611

 

[swissaustrian]

Shit is about to get real here in Europe. Swiss police caught somebody with 25 million Euros in cash today at the Swiss-French border according to local media. He was trying to import this pile of paper to Geneva which is major money laundering hub...

 

[pmbug]

Capital Flight, Capital Controls, Capital Fear

The ending of extend-and-pretend is ushering in a new era of fear and uncertainty which is rapidly evolving into the next phase of the on-going credit crunch.

It is becoming clearer to many that the problems run much deeper than they had perceived, and more people all the time are realizing the systemic nature of the risks we are facing. Fear leads to knee-jerk reactions. In financial markets, it leads to volatility and self-fulfilling prophecies to the downside. It leads to capital flight, and then to capital controls.
...

More (long): http://theautomaticearth.com/Finance/capital-flight-capital-controls-capital-panic.html

 

[swissaustrian]

Bernanke says the Fed will not be buying European sovereign debt.
http://ransquawk.com/headlines/230399

You know what this means :doodoo:

 

[pmbug]

lol... not "directly" anyways...

 

[swissaustrian]

He never keeps his word, so they're probably going to buy Eurozone bonds sometimes. Maybe they'll use the IMF or the ECB as a proxy.

 

[69mach351]

they're... going to buy Eurozone bonds ...they'll use the IMF or the ECB as a proxy.

This.

 

[rblong2us]

heh

bail us out or else .........

and none of those austerity conditions ..... or else

by friday please

starting to sound familiar eh ?