How They Hedged Brexit: Soros Was Short Deutsche Bank, Druckenmiller Was Long Gold

Soros Fund Management took a short position in Deutsche Bank AG of about 7 million shares, or a total notional of about $100 million, as turmoil from the U.K.’s decision to leave the European Union sent bank stocks lower. The position taken on Friday was equivalent to 0.51 percent of Deutsche Bank’s share capital, according to a German filing published on Monday. The document doesn’t show at which price the fund took the position.

Previewing Today's Main Event: David Cameron Arrives In Brussels

For the first time since triggering a political earthquake that’s shaken Europe's foundations with his now massively backfired decision to hold a EU membership referendum in 2015, a decision which won him the parliamentary election battle but lost him, and Europe, the war, UK Prime Minister David Cameron is set to face his fellow - and very angry - European Union leaders at what may be Cameron's last summit in Brussels, even as back in London, the race to succeed him is heating up.

This Is What Draghi Said To Spark Speculation Of Another Global Central Bank Bailout

The head of the ECB avoided mentioning the U.K.’s vote to leave the European Union but instead called for greater alignment of policies globally to mitigate the spillover risks from ultra-loose monetary measures.  “We can benefit from alignment of policies,” Draghi said at the ECB Forum in Sintra, Portugal. “What I mean by alignment is a shared diagnosis of the root causes of the challenges that affect us all; and a shared commitment to found our domestic policies on that diagnosis."

The "Synergies" Arrive: Dow Fires 2,500

Today, less than a month after Dow completed its transaction with Corning, the "synergies" which we previewed last December have begun. Moments ago Dow announced that cost-synergies would be achieved through a global RIF, or reduction in force (another of Wall Street's favorite acronyms) of approximately 2,500 jobs, or 4% of the workforce.

Frontrunning: June 28

  • Brexit vote, UK political confusion keep world markets on edge (Reuters)
  • Cameron Heads to Last Supper in Brussels Amid Impasse in London (BBG)
  • Banks Get Reprieve From Brexit Hammering (WSJ)
  • U.S. Stock Futures Rise as Stimulus Hopes Outweigh Brexit Fears (BBG)
  • Brexit adds to existing troubles faced by banks (FT)

Global Stocks Rebound, US Futures Jump On Expectation Of "Coordinated Intervention By Central Banks"

After a historic two-day selloff, which as shown yesterday slammed European banks by the most on record the wildly oversold conditions, coupled with hopes for yet another global, coordinated central bank intervention, coupled with modest hope that David Cameron's trip to Brussels today may resolve some of the Article 50 gridlock, have been sufficient to prompt a modest buying scramble among European stocks in early trading, with the pound and commodities all gaining for the first time since the shock Brexit vote.

The First Casualty Of Brexit: Italy Prepares €40 Billion Bank Bailout

Barely has the market had time to digest last week's Brexit vote by the UK, a vote which may never actually be implemented if the "sturm und drang" campaign unleashed by the EU and the ECB on UK capital markets succeeds in changing the mind of enough "Leavers" to the point that the entire referendum is called off and Boris Johnson never triggers the Article 50 clause, and already Europe's most financially troubled nation, Italy, is using Brexit as a pretext to unleash a €40 billion ($44 billion) bailout of its insolvent banks.

Greenspan Warns A Crisis Is Imminent, Urges A Return To The Gold Standard

"We're dealing now in very early days a crisis which has got a way to go.  If we went back on the gold standard and we adhered to the actual structure of the gold standard as it exited prior to 1913, we'd be fine.  Remember that the period 1870 to 1913 was one of the most aggressive periods economically that we've had in the United States, and that was a golden period of the gold standard."

Why Is The U.S. Embracing Iran - Again!?

America is apparently bent on repeating -- yet again -- the historic wrong turn it took in 1979 by once again embracing the radical Islamic regime in Iran. Why would the U.S. administration think doing the same thing again will have a different outcome?

Beijing Is Falling... Literally

Some areas of Beijing are sinking by as much as four inches a year due to the over-pumping of groundwater from beneath China's capital; and as the population grows, the pace at which the city sinks accelerates.

 

Brexit: Russia's Comfort Level Rises, US Loses Eurasian Plot

Putin spoke calmly and in a detached tone, when asked for his reaction to Brexit. But he hinted he is insightful enough to recognize the opportunity brought up by fate. The bottom line is that the EU and NATO are complementary. And Brexit upholds that national interests prevail over European collective interests. Without doubt, Brexit is also, partly at least, a reflection of the overall weariness in Europe with the continued NATO expansion eastward.

EU Officials To Unveil 'Ultimatum' Blueprint As Final Solution For European Super-State

It appears The Brits dodged more than a migration bullet in their decision to leave The EU. French and German officials are reportedly due to reveal a blueprint to effectively do away with individual member states in what is being described as an "ultimatum," with a shockingly predictable final solution to Europe's Brexit-driven existential crisis to morph the continent’s countries into one giant superstate.