This week has been dominated by, among other things, headlines about Greek banks, and Greek bank withdrawals.
Now it’s Spanish bank withdrawals, and that’s far more serious in terms of global ramifications.
Reuters, citing Spanish newspaper El Mundo, says there has been $1.3 billion in withdrawals from the Spanish bank Bankia in the last week.
The bank’s troubles are well known, but this is prompting a spiral effect in the stock, which has already been batttered.
It’s just getting crushed today though: Down over 20%.
Check out this ugly intraday chart via Bloomberg.
SocGen is out with a fresh warning on deposite flight in Spain and Italy if Greece leaves the euro, but that seems to be happening even in advance of a Grexit.
Meanwhile, the next big event in Europe is the Greek elections on June 17… an event that now seems a long ways away.