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Having being in Russia when actual bank runs took place there in the early 90s, this doesn't look like such a massive event. 5.5% devaluation is marginal, frankly. In a real bank run, the value of the dollar or gold could easily triple or more.

It does point to problems and instability, but not as such to an endgame.

Wind power

by Jerome a Paris (etg@eurotrib.com) on Fri Dec 30th, 2011 at 06:40:13 AM EST
While NBC News made mention of Iranian threats to close the Straits of Hormuz, (IMO of dubious feasibility - surprise attacks on Gulf oil export facilities would have a higher probability of disrupting shipment of oil, even if at a very high price), they made no mention of the effects of economic pressure on domestic events in Iran. This is despite having Ali Arishi, an Iranian, as their chief correspondent in Tehran. I suspect that the Fed's minions at JP Morgan, etc., are having expense enough keeping a lid on the PM market and don't want unhelpful news on that front. Keeping gold below $1500/oz through today will cap its rise for 2011 acceptably.

"It is not necessary to have hope in order to persevere."
by ARGeezer (ARGeezer a in a circle eurotrib daught com) on Fri Dec 30th, 2011 at 09:30:19 AM EST
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