Sunday, July 24, 2016

The Economy: "Derivatives Contracts "Not worth the paper they're written on" as Struggling Deutsche Bank Closes Nearly 200 Branches"

"Derivatives Contracts "Not worth the paper they're written on"
 as Struggling Deutsche Bank Closes Nearly 200 Branches"
by NewsRoom

"Germany's economy is on the brink of collapse as its largest bank shutters 25% of its branches. Deutsche Bank will close 188 branches across Germany in the coming months, with 51 of them in the North Rhine-Westphalia region. The lender has been forced to implement dramatic austerity measures after share prices plummeted by a staggering 48 per cent, marking an all-time low. It has also pulled out of 10 foreign markets, including Russia and Australia, and is poised to cut around 3,000 full-time jobs.

Earlier this year Wolfgang Schaeuble, Germany's Finance Minister, claimed he had "no concerns" about Deutsche Bank's plunging share prices. And co-CEO John Cryan insisted: "Deutsche Bank remains absolutely rock-solid, given our strong capital and risk position."

But financial expert Max Keiser has poured cold water on their claims, saying the bank is "technically insolvent" and runs a "ponzi scheme". Speaking on Russia Today's Keiser Report, he added: "The bank needs to go out of business, because they are not solvent. But politicians, including Schaeuble, allow for financial engineering products to come onto the market that mask insolvency. It's dead, it's insolvent, the bank is dead... This is a dead bank walking." That means the trillions of dollars in Derivatives Contracts sold by the bank, are not worth the paper they're written on! ($50-72 trillion by various reports. And who, precisely, are those trillions contracted with? - CP)

Before last month's historic vote to quit the EU, some experts feared Brexit would spark financial chaos for Germany's largest banks. Felix Hufeld, the head of Germany's financial watchdog Bafin, said he was worried about the possible impact in the event of a Leave vote. He said: "If Britain does not remain, the biggest banks would have the biggest problems. They have the most activities in and with London."

"If Deutsche Bank Goes Under It Will be Lehman TIMES FIVE!"
"Don't bet your money that Deutsche Bank will go down, but if it does, the next day its going to be Citi, Barclays, HSBC, Morgan Stanley, Soc Gen, and big threats to JP Morgan and Goldman Sachs!" 

"Deutsche Bank Scares You? You MUST Read This!"

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