A FRIEND JUST PHONE ME INFORMING THAT BANKS WITHOUT MONEY IN FEW DAYS!!!
Bank run in Portugal in this moment due rumor about banks will have no money in few days! – Luis
Waiting for confirmation…
Medina: “I never thought the country would become a madhouse»
Go to elections now would be the worst. “A bomb,” the commentator defends TVI, which ensures that the new government would not have time to prepare budget…
Difficult to appreciate how serious the crisis is in Portugal.
Economic activity is grinding to a halt, increased taxation and regulation is destroying the business environment and other charges on the population (IVA, road tolls, rates, etc) which are designed to raise funds to keep the Troika happy, are actually killing the country off whilst impoverishing their people.
This misery for the Portuguese cannot continue – civil unrest will surely follow and the euro is the cause of he problem.
Go back to the escudo and save your nation!
Portuguese borrowing costs soar as president summons leaders for crisis talks
Political turmoil in Portugal rattled stock markets and pushed the country’s borrowing costs above danger levels on Wednesday, as the Portuguese president summoned party leaders for crisis talks after two key ministers resigned.
Stocks in Lisbon fell 5.2pc after Paulo Portas, who leads the smaller People’s Party in the coalition government, quit on Tuesday over the appointment of a new pro-austerity finance minister. Mr Portas said Vitor Gaspar’s replacement, Maria Luis Albuquerque, would offer “mere continuity” of the country’s deficit-cutting plans.
The yield on Portuguese ten year government bonds jumped 0.75 percentage points to 7.5pc, towards levels seen before its 2011 bail-out. The split over austerity also wiped £19bn off the value of Britain’s leading share index, the FTSE 100, which fell 1.2pc to 6,229.87, and triggered a sell-off in Italian and Spanish debt.
Portugal announces selected bank stock short-selling ban
Europe’s Creeping Bank Run: Bail-in fears grow for big depositors in euro periphery
At the height of the region’s debt problems, the amounts held by foreigners in banks in Spain, Italy and other eurozone “periphery” countries shrunk worryingly.
Recent months have seen signs of improvement – thanks to a pledge by the European Central Bank to prevent a eurozone break-up, as well as government efforts to boost confidence in the banking system.
However, analysts warn the latest initiative to build a resilient eurozone “banking union” – which will put deposits by large corporations at risk of being “bailed-in” to rescue trouble-hit banks – may have the opposite effect and spark renewed capital movement away from the continent’s troubled southern economies while benefiting banks in the north.
“There’s already been a reassessment of risk between periphery and core over the past two years which has led to foreign deposits being moved away from the periphery,” says Huw van Steenis, banking analyst at Morgan Stanley. “The bail-in directive could potentially accentuate this reallocation.”
The change in the eurozone bank landscape is illustrated by the decline in foreign deposits since the collapse of Lehman Brothers investment bank in late 2008. Before then, the amounts held by foreigners in banks of the eurozone countries had been rising steadily. By the first quarter of this year – the latest period for which comparable ECB data are available – the total had dropped back to levels last seen in mid-2005.