Deutsche Bank toxic derivative losses

AG47

DB is now more than 12x Lehman shock, They will be lucky to survive the summer.

What will it mean for the global derivatives bubble?

Some say it's a zero sum game, for every loser there is a winner, but that's only true if the loser can afford to pay the winners. German central bank is not able to pay its €75 trillion in toxic derivative losses

AG47

Silver just took out $21 it was $13 at the start of this year.

All the European banks are taking a nose dive. Italy just took a nose dive. They are pumping crazy money to fight back the shorts but people have 2008 fresh in their head so they are going to move faster into positions.

AG47

Deutsche Bank's stock price is now falling through all support and the company will very soon shut their doors. DB's stock is down 7% today and has dropped from a high of $50/share a few years back to today's price around $12.50/share This bank holds more notional derivatives than any bank on Planet Earth with estimates of $75T+. Nobody really knows how much they hold as much is kept off the books but it is clear that the bank is taking it's last, dying breaths.

And then what happens when they can't payoff their derivative losses? Can you say AIG on STEROIDS?

AG47

Some say it's a zero sum game in the betting derivative Casino world of betting, but what if the losers can't pay the winners? Then everybody loses

Thrugelmir

AG47 wrote: »

Deutsche Bank's stock price is now falling through all support and the company will very soon shut their doors. DB's stock is down 7% today and has dropped from a high of $50/share a few years back to today's price around $12.50/share This bank holds more notional derivatives than any bank on Planet Earth with estimates of $75T+. Nobody really knows how much they hold as much is kept off the books but it is clear that the bank is taking it's last, dying breaths.

And then what happens when they can't payoff their derivative losses? Can you say AIG on STEROIDS?

Reflects the hit they are taking on Sterling. Italian banks are equally uncomfortable.

Garethgrew

News that Deutsche Banks' head of currency trading is the First of many "BREXIT Dead Bodies" that will be exposed as we approach derivative settlement time in the next couple weeks...

Deutsche Bank Currency Trading Chief Arinc Leaving the Firm
http://www.bloomberg.com/news/articles/2016-07-06/deutsche-bank-currency-trading-chief-ahmet-arinc-leaving-company

"Deutsche Bank AG’s head of foreign exchange and emerging market debt trading, Ahmet Arinc, is leaving the company, according to a memo to staff."


END



Also, the chief Bankster in Italy has just called out Germany for having a bank that is 100x worse off due to derivatives than the proposed and needed Italian Bank bailout.



SNEAK Peak at Tomorrow's timeline:



"After that it will leak out that Central Banks around the world have started to print money to buy gold, silver AND Bitcoin because they don't trust each other anymore."


We are just about there the big global collapse.

The-Joker

Garethgrew wrote: »

Deutsche Bank's derivative book was just ripped apart on Friday morning when the BREXIT vote came in. The derivatives related to FX currencies and European sovereign debt have been triggered and the settlement date will be mid-July.

It is all happening now so get yourself as far away from the markets as possible. Physical silver, physical gold and hard copy Bitcoin in your possession will be the ONLY answer to this problem.

Silver, by the way, is up the small matter of 66% from its lows in sterling terms – from £9 an ounce to £15. I should never have been so cynical! I own some, but not nearly as much as I wish. Ain’t that always the way? In a bear market, you own too much. In a bull market, you don’t own enough.

Is now the time to sell, well lets think about it. The public are not yet into the monetary metals. This bull market is obly just starting.

In addition to a trend that, quite definitely, is rising, just a cursory glance at the world around me says “hang on”. We don’t know how this political crisis is going to end in the UK. We don’t know what the public reaction to an unelected prime minister will be. We don’t know exactly how we are going to leave the EU and on what terms.

We’ve got the US election too, in which neither candidate has you exactly salivating, then France and Germany – whose leaders are unpopular – have their own elections in 2017.

Meanwhile – and I don’t say this lightly – something dodgy is going on in the European banks. I’m not brainy enough to tell you what. If I start looking at liabilities and derivatives books, I don’t think I’d be any more enlightened.

But I do follow price action – and Deutsche Bank’s share price, in particular – beneath its global financial crisis lows – suggests something big is not right. The Italian banks, meanwhile, seem to slip lower every day.

Then you start seeing commercial property funds – two at the last count – closing out redemptions, and you put it all together and think, it’s all looking a bit 2008-y. If anything, I should be buying silver, not selling it.

Thrugelmir

The-Joker wrote: »

We don’t know what the public reaction to an unelected prime minister will be.

You've a short memory. Brown inherited the reins from Blair. Life continued as normal.

merlingrey

Deutschebank reminds me of RBS, i suspect it'll get bailed out and the derivative mess will be forced on other banks to hold so that even banks that was doing fairly ok will have to hold this rubbish and have it eat their bottom line.

Thats the problem with banks is that instead of allowing the bad banks to fail so the good banks can succeed the bad banks spread the problem around and it will keep getting worse until they all collapse and no bailout is possible.

No doubt the people at the top of the mess will still get their golden parachutes though.

Thrugelmir

merlingrey wrote: »

Deutschebank reminds me of RBS, i suspect it'll get bailed out and the derivative mess will be forced on other banks to hold so that even banks that was doing fairly ok will have to hold this rubbish and have it eat their bottom line.

Thats the problem with banks is that instead of allowing the bad banks to fail so the good banks can succeed the bad banks spread the problem around and it will keep getting worse until they all collapse and no bailout is possible.

No doubt the people at the top of the mess will still get their golden parachutes though.

Good piece yesterday.

Deutsche Bank: World's most dangerous bank?

So is it now the most dangerous bank in the world?
According to the International Monetary Fund - yes.

http://www.bbc.co.uk/news/business-36723034