Update: "Capital Flight Proves Confidence in European Interbank System has Collapsed"
Capital flight from European banks has now reached such a state that for one undisclosed bank needed emergency funding last week for a mere $5 million. Previously, the ECB stepped in to provide $500 million in emergency liquidity measures to non-disclosed banks.
As money flees Europe, it lands in US banks that do not know what to do with it. Capital flight has led to negative interest rates in the US.
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