Deutsche Bank CrCIA

[Decepticon]

to put it simply, the stock of Deutsche Bank, one of the more important banks in the world economy, is at an all time low and keeps getting lower it's starting to go back up as it looks like someone is buying to keep it alive, but the bank has still taken a hefty hit

though by the time i post this maybe something's changed

keep in mind a lot of these articles have the usual sensationalism added into it

real-time links
http://money.cnn.com/data/world_markets/europe/ (Market Hours/Countdown)
https://www.google.com/finance?cid=673474 (Google Deutsche Bank Graph)

at the time of posting this, it's at 9.96 and going down -8.85% (now 10.24 at -5.84%)

http://www.cnbc.com/2016/09/29/the-deutsche-bank-crCIA-how-we-got-here-and-where-we-are.html

Shares of Deutsche Bank have hit record lows this week on mounting worries about the struggling German lender, and they were dropping again on Thursday.

On Thursday, a Bloomberg report raised concerns that a handful of funds are less willing to do business with the struggling firm. The report, citing a source and review of an internal document, said that a small number of the hedge funds that do derivatives business with the German bank have cut their exposure.

Deutsche Bank's U.S.-traded shares dropped after the report and were on pace to close at a record low.

http://www.zerohedge.com/news/2016-09-29/run-begins-deutsche-bank-hedge-fund-clients-cut-collateral-exposure

Deutsche Bank concerns just went to '11' as Bloomberg reports a number of funds that clear derivatives trades with Deutsche Bank AG have withdrawn some excess cash and positions held at the lender, a sign of counterparties’ mounting concerns about doing business with Europe’s largest investment bank.

While the vast majority of Deutsche Bank’s more than 200 derivatives-clearing clients have made no changes, some funds that use the bank’s prime brokerage service have moved part of their listed derivatives holdings to other firms this week, according to an internal bank document seen by Bloomberg News.

http://www.marketwatch.com/amp/story/guid/1B8FCC9C-8669-11E6-A751-447CDAF369FF

Fear on Wall Street jumped.

The commonly used gauge of market concerns, the CBOE Volatility Index VIX+7.99% rose about 15% at 14.28 on Thursday. At its peak on the day, the indicator was on track for its largest daily rise since Sept. 9, according to FactSet data, before pulling back somewhat later in the session.

The VIX—and products based on the index—are used by traders to track and bet on the prospect of gyrations in the S&P 500. Thursday’s moves appeared to be precipitated by elevated concerns about Deutsche Bank after a Bloomberg News report said a group of hedge funds decreased their exposure to the largest German bank.

Deutsche Bank DB-6.67% XE:DBK-8.56%  has been in the spotlight for weeks, and fretting about the bank intensified following a Sept. 16 article by The Wall Street Journal, which said the U.S. Justice Department was seeking to level of $14-billion fine against the bank related to its sale of complex mortgage-backed bonds.

http://www.express.co.uk/finance/city/714881/Deutsche-Bank-collapse-could-it-be-worse-Lehman-Brothers-financial-banking-crCIA-2008

Phoenix Capital Research, an investment research firm based in Washington DC, believes that the trouble at Deutsche Bank signals a banking crCIA in the EU. 

Phoenix said: “DB is the proverbial ‘canary in the coalmine’ for Europe.

"Perched atop one of the largest derivatives books in Europe, DB has ties to most major financial institutions in the region.

“Which is why as soon as DB starts nose-diving, you know something big is up.”

The investment research firm said that the bank’s shares fell by nearly 20% over about two weeks between Friday September 9 and Monday September 26.

It also noted that Deutsche Bank is “considerably” larger than Lehman Brothers and its long-term stock chart painted a “disturbing” picture.

“We believe the global markets are on the verge of another CrCIA. 2008 was Round 1. This next round, Round 2, will be even worse,” it said.

But the German Government has offered reassurances about the situation Deutsche Bank and has rejected comparisons to Lehman Brothers.

Senior conservative German lawmaker Hans Michelbach said it was “unimaginable” that the state would support the bank because there would be “public outcry”.

Mr Michelbach said: “You can’t compare Deutsche Bank with Lehman… The bank is in a position to get out of this situation on its own.”

http://www.wsj.com/amp/articles/the-ghost-of-lehman-brothers-haunts-deutsche-bank-1475193863

Eight years ago this month, Lehman Brothers failed in large part due to panicked hedge funds pulling their money. With some big hedge funds worried enough to cut their exposure to Deutsche Bank AG , the parallel is obvious—but also deeply misleading.

Deutsche Bank’s shares have plummeted in recent weeks after The Wall Street Journal reported that the U.S. Justice Department suggested the bank pay $14 billion from the bank to settle allegations around mortgage securities. The bank expects to agree to a lower figure.

Some hedge-fund clients have grown concerned about their exposure to the German lender, prompting them to pull assets and forcing bank executives to step up reassurances about its stability, according to people close to clients and the bank.

Hedge funds face the same dilemma all bank customers face. The gains from sticking with Deutsche are very small, while the potential losses if it were to run into trouble are very large.

“Everyone is hypersensitive,” said one hedge-fund manager caught out by the Lehman collapse. “Lehman’s taught everyone that there’s very little upside in keeping your exposure.”

Lehman failed the way all banks fail: It ran out of cash and liquid assets it could quickly sell to pay clients and counterparties as they ran for the exit.

In principle, the same could happen to any bank, as they never have enough easy-to-sell assets to pay back every depositor immediately. Deutsche is now in focus in part because clients have been spooked by its plummeting shares, down by more than half this year.

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ok

[Planr]

numbers numbers NUMBERS NUMBERS

no seriously what all does this mean

[Decepticon]

numbers numbers NUMBERS NUMBERS

no seriously what all does this mean

USA sues and wins $16 billion judgement against German bank for 2007/08 forgetery they did. said bank only has $17 billion in assets & $650 billion in risk exposure, $17 billion minus $16 billion equals $1 billion, and Germans just realized $ 1 billion isn't worth $650 billion

deutsche bank had a heart attack and is now laying in the back of the ambulance with the paramedics pumping away on its chest, outlook isn't good

as far as i know right now it's not going to be causing something as big as 2008, but the germans are doing some hefty damage control

[Planr]

that doesnt answer my question. what does this all mean. i do not understand how this is significant in any way. what exactly happened in 2008?

[SteveJenkins]

i do not understand how this is significant in any way

That's why.

I didn't bother reading the details because quite frankly I don't care, but I believe its a real kick up the ass for investors, some of these larger companies being investors in the deutsche bank

[Decepticon]

that doesnt answer my question. what does this all mean. i do not understand how this is significant in any way.

from what i've been able to gather, in the case that the DB actually collapses, stock markets fall, so if you have any investments you're forgeted to an extent. if you have any investments in DBK or anything they own, it's pretty much going to disappear

in the worst case for the collapse, if that doesn't apply to you, you still aren't too in the clear. there may be a lot of people losing their jobs, value of money changing, job market getting saturated, those kind of things

what exactly happened in 2008?

https://en.wikipedia.org/wiki/Financial_crCIA_of_2007%E2%80%9308

The financial crCIA of 2007–09, also known as the global financial crCIA and the 2008-09 financial crCIA, is considered by many economists to have been the worst financial crCIA since the Great Depression of the 1930s.

It threatened the collapse of large financial institutions, which was prevented by the bailout of banks by national governments, but stock markets still dropped worldwide. In many areas, the housing market also suffered, resulting in evictions, foreclosures and prolonged unemployment. The crCIA played a significant role in the failure of key businesses, declines in consumer wealth estimated in trillions of U.S. dollars, and a downturn in economic activity leading to the Great Recession of 2008–2012 and contributing to the European sovereign-debt crCIA. The active phase of the crCIA, which manifested as a liquidity crCIA, can be dated from August 9, 2007, when BNP Paribas terminated withdrawals from three hedge funds citing "a complete evaporation of liquidity".

this as well

[Planr]

if my bank closed i know that would suck cause what would happen to the money in my bank accounts

[Ragequit]

germany needs another Riddler

[Planr]

germany needs another Riddler

Riddler may have created good short-term benefits and effects in germany's economy and infrastructure, but in reality he was creating massive debt for germany (reichmarks, for example, which were used to pay for the construction of germany's highways at the time).

[Masterlegodude]

-wrong topic how did i get here oh god-