Cyprus clinched a last-ditch deal with international lenders today for a €10 billion bailout that will shut down its second largest bank and inflict heavy losses on uninsured depositors.
The ECB can massage the spin any way they like, but this has sent out a warning to many and true trust is now gone. Like with a bad marriage you can forgive and forget but never fully trust again. It is with this sentiment that I for one feel many will look to other areas to invest back in. Gold having been out of fashion with investors medium term can only benefit.
The big boys may try to hold it down but like a ballon being help under water its can only go one way.
Anyone else see it this way