fake oakley sunglasses Funds raised on the other hand if the Serbian government cannot go bankrupt

Eastern Mediterranean tiny Cyprus is facing the danger of default, renewed worries the euro zone's debt risk, increase in investor risk aversion, safe-haven investment, asset prices went up to resolve Europe's debt crisis and the global economic recovery process to cover,fake oakley sunglasses.
With Serbia's event warning investment risk, default risk facing China's credit markets this week also remind - photovoltaic industry giant wuxi suntech bankruptcy reorganization. Suntech event for China, of course, credit bond yields higher impact is smaller, more from the recent supply continues to increase the impact of the credit debt.
Cypriot population of less than 1 million,fake oakleys, as one of members of the European Union economy also accounts for only 0.2% of the whole of Europe, but because of the debt crisis and rescue. As access to the eu 10 billion euros ($13 billion) bailout plan, as part of the bank of Cyprus to the depositors.
If not taxing depositors, Serbia's bail-out funds will reach 17.2 billion euros (10 billion euros), which is Serbia nearly 70% of GDP (gross domestic product (GDP). This will make the Cypriot sovereign debt amounted to almost 160% of GDP. Obviously, such a large burden will be unsustainable.
Serbia's tax to 68 billion euros in bank deposits, therefore, become one of the options, but a tax on which depositors have differences. Euro zone finance ministers hope pass small depositors deposit less than 100000 euros; But Serbia's worry about its reputation as an offshore banking heaven, wants to divide the tax burden on small savers. Cypriot bank capital source for the most part for all non-residents, Russian customers as one of the major contributors.
According to the agreement, Serbia's need to raise 58 billion euros, if below 100000 euros for the small deposits tax, tax rate is 6.7%, more than the amount of large deposits of the tax rate of 9.9%; If only a tax on large deposits, tax rate should be raised to 15.6%.
A tax on bank depositors, not bad, because depositors' interests protection have non-bank and, ultimately lies in the Cypriot government support as the backing, but Serbia's parliament on Tuesday rejected the tax bill. Serbia's government then set up a "solidarity" is put forward, based on this fund issued an emergency government financing. But the proposal is pending, investors natural anxiety increased risk of Serbia's departure from the euro,cheap oakley sunglasses.
Investors worry is twofold. In spite of the kingdom of Serbia for the projectile, but a tax on bank deposit may cause bank runs, and spread to other countries; Funds raised on the other hand if the Serbian government cannot go bankrupt, the investors will also be damaged, Serbia will be out of the euro zone will also affect the overall confidence in the euro-zone rescue zone crisis.
Global investors risk concerns, but given the Cypriot government bonds and other assets at the end of 2009 since few transactions, are difficult to measure risk premiums, we from the described as panic of the volatility of the s&p 500 index and the European blue chips STOXX50 volatility index both rapid rise, still can be seen from the side.
Risk concerns directly push up global markets, the cost of financing the two-year dollar interest rate swap spreads a two-year U,fake oakley sunglasses.S. treasuries climbed to 17.25 bp (bp), for high since August last year. Germany and the us Treasury to regain investors, such as the us and European stock markets lower accordingly.