Deutsche Bank's credit rating just dropped today for the second time this year and they are under heavy investigation by the SEC and other regulating agencies for fraud and have already started paying penalties
High level executives are already leaving the firm and there is no sign of Deutsche bouncing back.
Deutsche's stock dropped 50% from last year and are projected another 20% decrease from the possibility of an interest rates spike on top of whatever other losses they incur from investigations and penalties.
Their current profits are -$6 billion and they just got another $450 million in penalties tacked on today
To put this all in perspective:
Lehman Brothers in 2008 >$640 billion in assets >26,000 employees worldwide
Deutsche Bank in 2015 >1.6 trillion in assets >101,000 employees worldwide
If Deutsche goes under then the stock market bubble will burst and take with it the entire world economy.
i know memes and election stuff is fun and all but this is actually a fucking huge deal that nobody is talking about
Nicholas Carter
I would like to talk about it, but I don't know shit about economy and don't have anything meaningful to contribute.
Austin Butler
Hey look! Someone posted it again!
Josiah Evans
Well for one its the destruction of the EU and world economy which has huge implications for geo-political events in europe especially with their security issues now
Jeremiah Davis
>Implying we're not closer to the next recession than we are to 2008
Enjoy the """""""""recovery"""""""""" because It'll be gone sooner rather than later.
Joseph Kelly
Stop pandering to this Alex Jones tier fear mongering.
They didn't drop their "credit rating". They dropped their unsecured debt and long term deposit ratings (which is still considered low risk).
If you read the Moody's report you'll see that Moody projects they'll suffer modest losses.
Go back to bed, it's not habbening.
Jackson Baker
>Alex Jones lol the US wouldn't be rattling DB's cage again if there were serious risk of a collapse over it
Angel Adams
No worries they will get a bailout
Colton Thompson
>1.6 trillion in assets
Literally too big to fail.
Jeremiah Robinson
So does this mean it's maybe a good time to buy DB stock? It's pretty cheap already.
Colton Morgan
Are you an idiot? DB knew this was coming. They've budgeted over $5 billion in legal fees. They paid over $2 billion last year for the same shit.
Eli Evans
The ECB/IMF will just step in to prop any failing bank up. They'll have the political will to do so - European leaders would sacrifice their children to stop the Euro from failing - and the money to do so, thanks to the reserves that things like the ESM have built up since 2009.
Or, it'll all happen so suddenly that the entire European/American banking system burns to the ground. I'll be fine, still at uni, and my parents are in education/design, with relatively low household debt. It might even be enough to topple the EU for good.
Adam Cooper
DB is pushing for the EU to strengthen the Euro by fully implementing a Freigeld system. That would put pressure on the US$.
Lincoln Williams
>Euro crashes the world economy less than a month before referendum
Joseph Gray
Of course they knew. Everbody budgets in legal fees. What's more relevant is that this is in the news at all.
Ryan Ward
This is going to be the catalyst for the happenings.
Eurozone monetary union will crumble because europoors will want to regain fiscal control of their countries and get out from under the troikas jackboot.
Its gonna be fucking chaos. Putin is already preparing.
Luis Sanders
>1.6 trillion in assets >may pay up to $10 billion in legal fees
...so not happening?
Jaxson Kelly
All the euro countries that are getting fucked by the monetary union are going to break away though as their economic situation declines with no hope of improvement under the EU monetary union.
Owen Scott
I hate open style offices
Juan Moore
>Germany floods Europe with immigrants >German bank collapses global economy
Looks like it is time for the World vs Germany round 2.
Asher Martinez
>European leaders would sacrifice the european taxpayers children to stop the Euro from failing
Fixed that for you
Gavin Hernandez
No, it's not. It's idiots like you and OP that have no clue about world markets making a mountain out a mole hill.
Luke Phillips
Deutsche bank isnt reallyvthat big of a bank.
Bentley Edwards
Nah, Russia is following Europes lead in international trade. The EU was the first monetary system to take a firm stance in holding gold when the Euro was created in the early 2000s.
Eli Evans
But isn't it wonderfully German how every floor is pretty much exactly the same?
Christian Moore
really makes you think... im now #RunningForTheHill
seriously though. crash imminent?
Wyatt Diaz
HAPPENING!
Dominic Foster
What do to save myself from habbeding?
Jordan Nguyen
I think they're in the top twenty.
Eli Peterson
>nobody is talking about The media does NOT talk about banks failing, because it causes bank runs.
Evan Campbell
It's the 11th largest bank in the world and 7th largest in the West
Jaxson Perry
just because TV says "america is the greatest" doesnt mean america is actually the greatest.
Charles Torres
DB isn't failing. Moody's has it at a stable rating in this report.
Jace Taylor
>can't run fiscal defecits greater than 3% >can't devalue currency >can't borrow and spend without asking big bros
You don't know shit you stupid septic tank. Look how close greece etc already came to leaving.
Benjamin Johnson
Good lad Now we're talking reality
Chase Williams
Greece would be like Venezuela if they left the union.
Jordan Hughes
Is this the same Moody's that rated subprime mortgage securities as AAA?
Juan Stewart
That's correct.
Aiden Long
A large number of their capital is tied up in Europe and Asia. The lowered interest rates of both markets is killing their margins. That plus these legal troubles are the reason for this.
Sit down, Austria. Nothing to see.
Dylan Martinez
round 3, you mean, right?
Hunter Russell
Wait you are saying that EU is going to revert to a gold standard?
Tyler Green
First, you don't rate all securities with a single rating.
Second, they didn't rate all individual mortgage securities as AAA.
Hunter Carter
You know what I was saying
They were fucking dead wrong in 2008 and yet stupid cunts like you still think the ratings agencies know what the fuck they're doing
Ian Martinez
it wont be a global disaster but it will be a european disaster. they spent to much money on globalist faggotry like pro EU commercials in the UK .kek
Hudson Clark
No not at all. DB came out months back saying that the EU should move to a full demurrage currency system. It's where the currency has no backing whatsoever and negative interest rates. The currency could not be kept as a store of value for savings under this type of system though and that is where gold would play it's part. This concept is why the EU puts no VAT on gold bullion if people buy it. In essence, gold wouldn't be fixed to the currency it'd just be the store of value. The negative interest rates are a sign that this is already being implemented slowly.
Nolan Powell
Yes, because a metric of performance is surely the same with 45,000 securities as opposed to DB. Great point.
Benjamin Clark
it's Sup Forums
Grayson Adams
The one thing I enjoy about these threads is user the retard really proves he knows fucking nothing about funds management, international finance, financial derivatives, or the stock market. Like this cunt And this cunt And especially this cunt
Ryan Diaz
This essentially would be the trigger that would start THE happening, right?
I mean one bank goes under and it's over. All hell breaks loose, right?
Isaiah Robinson
Interesting. Negative interest rates are fucking stupid anyway. Whats really needed is fiscal stimulus that will allow private debt to be paid down and give demand a chance to return. Can't keep punishing people for saving.
Logan Myers
lel another reason to leave the eu, niggers will never learn. Also nice captcha niggerjew chan.
Wyatt Lopez
lehman worth $640 billion, reported a $2.8 billion loss, sold $6 billion in assets, and the public backed out of their stock to the tune of 73%
call me when deutsche bank reports that it just sold $15 billion in assets to cover a loss as stupid as lehman's, AND that the loss happened because they'd been lying about their financial structure for decades, AND that the public decided to sell its stock until its down 73% of what it was the day before reporting
Anthony Campbell
These are Lehman Brothers and Deutsche's stocks lined up side by side
Deutsche is reported to be over leveraged at roughly 40 times what they are worth are reported to have roughly 64 trillion dollars worth of derivatives contracts
64 TRILLION DOLLARS WORTH OF DERIVATIVES CONTRACTS
Every major bank in the fucking world is guaranteed to have some of these fuckers flying around in the market.
The total loss of contracts from the 2008 recession was valued to be roughly 5 trillion dollars
If Deutsche goes down it might as well be the end of the world
Logan Morris
Right. Under the system DB is recommending for the EU, savers would just buy their gold bullion. Gold would also allow a balance of trade asset for international trade. Many people have never heard of this system so they don't realize that it's what they are slowly pushing the world towards. I first learned about this from a blog called FOFOA. As weird as it sounds when you first hear it, the guy who writes the blog has been very accurate.
Here's a list of things to help you learn about demurrage currency systems if you're interested.
I posted a thread about this yesterday, and better embrace yourselves for what it's coming.
Deutsche worths almost 47% of Germany GDP, if ECB saves it, and condones its debt, there are going to be a lot of angry people wanting to watch the world burn.
If they let crash down, EU blows up.
This happening could be a fucking mess for all of us.
Noah Gonzalez
is the report public or do i need to access it via capiq
Benjamin Gray
Also, we are one step above the chaos.
Jesus Christ Germany.
Luke James
Wicked, thanks man I'll have a look into it.
Anthony Cooper
Yeah pretty much this. But how will this effect burgerbros?
Elijah Brown
>worths almost 47% of Germany GDP
utter bullshit
Jace Hill
No problem.
Owen Cooper
It'll keep NY (and thereby DC) in relative power over the rest of the world.
Easton Perry
The EU can suck the fat one, all they want is niggers and jews. The jew eventually stabs itself in the back and euro niggers never learn. Hope you cunts rot in shit.
Dominic Nelson
Deutsche Bank's derivatives contracts eclipse Germany's GDP by almost 15 times
Xavier Collins
Oh so everything as it should be then. Should I pull my 401k take the hit and toss too gold?
Logan Brown
>EU economy collapses in on itself Why should I care about this again?
Lucas Anderson
>all they want is niggers Private companies want cheap, exploitable low level workforce to keep the Ponzi scheme running. They don't care about social costs, they just want more $$$. So they lobby the governments so they accept rapefugees, and the government tells the press to call you racist if you ever dare to protest this.
Same is going on in Australia (reason why you are getinng CHINKED) and USA with Mexicans
Mason Cox
USA will collapse too
Deutsche's derivatives contracts are owned by American Banks
they'll lose trillions
>eu collapses >entire world collapses
Tyler Lewis
>technical analysis
Cameron Morales
Well I don't know shit about economy so theres not much to say from me.
I also can't tell if this is a good or bad thing.
Michael Gray
BAD BAD BAD BAD BAD BAD BAD BAD BAD
William Wood
That's somewhat extreme. I simply stopped my personal 401(k) contributions in order to build a decent position in PMs.
Isaac Cook
Japan is starting to get along with Russia, and if Europe literally falls down, one of your most profitable customer is going to shit, and your economy it's healthier than us for now, but better not play with fire.
If we collapse, despite we are the Cucked Continent, the entire world is going to crisis like 2008, but with more muslims and habenings.
Jose Gutierrez
I'm not saying that Deutsche IS 47% of Germany GDP, I'm saying that it worths that.
Also >derivatives
Better start to understand how fucked are the whole EU if this happening happens.
Bentley Russell
there is a difference between law ownership and letting nigger fuck your population in the ass. You stupid cunts won't realise that before it's too late.
Blake Fisher
This is going to be a cruel summer indeed
Logan Howard
The whole world is fucked if the derivatives blow up in an uncontrolled fashion. We're supposed to be worried about a few billion? Somebody's going to have to loan out a few trillion (again)? Yeah, no, we're talking about quadrillions.
To anybody who thinks that Deutsche is "too big to fail", there is literally not a market big enough to front the money needed to buy back the 60+ trillion dollars necessary to keep the thing from exploding
Hunter Ortiz
I have a BA (hons) in economics and am currently doing my Masters of Finance.
Downgrade essentially causes it to be more expensive for the bank to fund itself.
Depending on the downgrade debt holders may have clauses in their contracts that may force the bank to pay more or to pay them back in full immediate, down grades can be classified as a 'credit event' which will trigger consequences.
This is combined with the negative press/sentiment causing the share price to fall....if it falls enough it will trigger another 'credit event'.
It is absolutely fucked how entrenched credit ratings agencies are, yet they don't actually have to provide a service that benefits society.
It's not Armageddon, but it further highlights the liquidity constraints within the market, especially the eurozone.
Lincoln Jones
>liquidity constraints only by a couple 10s of trillions
Hudson Richardson
Constraints as in lack of activity, less securitisation, less private and insto investment. the EU have been pumping fuck tonnes of money in, but the channels are so squeezed, yet everyone expects it to go back to normal. It is like reviving a patient from dead to alive on a respirator then expecting them to run a marathon....
Jaxson Gray
>no money and niggers everywhere
sounds like a recipe for disaster to me kek
Isaac Moore
Do you see as possible some Bretton Woods III, Eypos dissapearing and some kind of new sheqel appearing?
All that inside the pack of social explosion finally happening.
Justin Green
What is eu economy compared to SE Asia's? Why would anyone care?
Ian Jenkins
Well last time DB starting complaining about the denbts (again), we told them to knock it off so as not to compromise the geopolitical atmosphere.
If anything, the past decade has demonstrated that the money masters will come up with ways to keep the game going when they're up against a wall.
Ryder Sanchez
thats what they get for losing ww2
Brandon Gomez
those are the fags that wouldn't finance projects in the US over bathroom bans
I hope they choke on their pride
Isaac Harris
you cant trust them
interpol and Deutsche Bank, FBI and Scotland Yard Interpol and Deutsche Bank, FBI and Scotland Yard Business, Numbers, Money, People Business, Numbers, Money, People Computer World Computer World
Levi Bennett
>If Deutsche goes under then the stock market bubble will burst and take with it the entire world economy
Then the taxpayers will be forced to take the loss to preserve that bubble nothing will happen aside from a massive taxincrease or bankaccount getting a gilletmac3 shaving.
Carter Reed
It's just one fucking bank and germans have already given up on it.
Ryan Martin
Please explain.....................
Michael Wilson
>eu collapses >entire world collapses thats literally what russians masturbate to
Cameron James
The economic happening is going to happen in September again isn't it
Kevin Gomez
The US cares quite a lot about keeping Russia encircled. Under the current structure, that means things like gaining more EU and NATO membership.
Ryder Cook
this drunkard prick has a point... >follow the numbers >follow the money Those are the shitheads you hang first, they fear nothing more than a lynch mob coming to get their justice. You can only run so far before you come full circle and we are all living on a circle.
Ethan Johnson
>It's just one fucking bank
One massive (which DB is) bank failing is enough to trigger a domino of failures which crashes the whole economy
The economy isn't isolated corporations working and failing, It's a web where everything has anywhere from a dozen or so links in a small business up to the hundreds of thousands of links in global corporations, and If someone fails It is ripped from the web and takes yanks on everything it was connected too.
How connected do you think DB is to not even the German, but the entire World economy?