All is calm in Cyprus, but is that a bad sign?
Journalists seem to be outnumbering Cypriots standing in lines at banks in Nicosia. That's good news, right?
Maybe, but there may be consequences. In a note this week, Moody's said the lack of a strong reaction to Cyprus may make policymakers even more willing to go after bank creditors in the rest of Europe.
"In Cyprus, policymakers seem to have concluded that spillover effects to other banking systems, including the periphery, will be limited or can be contained," the ratings agency said. "We think the market's relatively muted reaction so far to these developments may embolden policymakers in the future should they feel contagion risks can be contained."