I'm not sure if the German mega-bank is in trouble, but there appear to be sufficient concern that German Chancellor Olaf Scholz felt compelled to dismiss any concerns about the bank.
This is not something that fills me with confidence:
Olaf Scholz has rejected comparisons between Deutsche Bank and Credit Suisse as a slump in the German lender’s shares sparked a further day of turmoil for the banking sector.
Speaking after Deutsche shares fell as much as 14 per cent on Friday, Germany’s chancellor sought to shore up confidence in the country’s biggest bank, with investors still nervous after the forced takeover of Credit Suisse last weekend.
“Deutsche Bank has fundamentally modernised and reorganised its business and is a very profitable bank,” Scholz said at a summit in Brussels after being asked if the lender was the new Credit Suisse. “There is no reason to be concerned about it.”
No mention here of the repeated allegations, and settlements, involving allegations of sanctions violations, money laundering, etc.
Experts are dismissing any risk to the bank, saying that the bank is, "The victim of an irrational market."
Yeah, I believe this man, he's an expert: (Not)
Deutsche Bank AG shares plunged the most in three years on Friday, suggesting that a week of soothing words from central bankers and politicians have failed to calm broad worries about the financial sector.
As observers tried to explain the move, analysts at Citigroup Inc. said it may be down to an “irrational market.” While that’s a concern in itself, even more worrying is the risk that negative views spiral out of control and become a self-fulfilling prophecy.
That threat was highlighted this week by Mark Branson, who heads Germany’s bank regulator BaFin. He told Bloomberg that while European banking is safe, one problem area is “contagion via psychology.”
Yeah, and the fact that the EU has inmiserated Greece and Italy to force austerity budgets that would bail out the Deutsche Bank has nothing to do with the recent crisis of confidence.
Pay no attention to €42,000,000,000,000.00 of dubious derivatives on their books.
They are digging in a pile of horse-sh$#, and expecting to find a pony.
0 comments :
Post a Comment