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"Pandora's Box Is Open": Why Japan May Have Started A 'Silent Bank Run' 

By: capt_nemo in POPE IV | Recommend this post (1)
Sun, 31 Jan 16 12:49 PM | 83 view(s)
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Submitted by Tyler Durden on 01/30/2016 - 10:28

"... if the negative interest rate continues for longer or goes deeper, commercial banks may have to set negative interest rates on deposits, which would expand not only the tax on commercial banks, but also on depositors (households and companies). This could lead to a ‘silent bank run’ via a shift of deposits to cash (banknotes), which in turn damages the sound banking system by enlarging the leakage of funds from the credit creation mechanism in the banking system."

http://www.zerohedge.com/news/2016-01-30/pandoras-box-open-db-warns-japan-may-have-started-silent-bank-run




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