Vehicle sales are interestingly going up in Greece, which fundamentally remains in contradiction to ailing economy.

Question is when there are lesser works, lesser pay, why the vehicle sales are going up in Greece.

Vehicle sales are up 33% in April from January this year and 19% up compared to March. According to analysts in May it could be 40% higher compared to April and continue to grow in June.

Can this be considered as recovery?

Clear answer is no.

Why?

Greeks are losing faith over the countries' banks and continue to pull out money. According to economists there could be more than $5-7 billion sitting idle under the bed or rug.

While pulling money out of banks, Greeks are looking for alternate ways to park the money.

What driving the fear?

Current radical stance by Greek government with European creditors, raising fears that there might be capital control imposed on Greek banks.

A Cyprus example shows, deposits faced additional tax when capital control was imposed on banks, which fetched cash strapped government € 8 billion but was a burden on consumers.

So it is naturally makes perfect sense to hold a depreciating asset, than to tax the deposits.

And for the deposits, it will keep on flying out of banks as deadline approaches which might led the country to default on its loans and exit Euro zone.

Common Currency, which is currently trading at 1.116 against dollar likely to remain depressed unless resolution is found.