Deutsche Bank

Deutsche Bank Throws In The Bullish Towel, Says "Next 5% Move Is Likely Lower"

With Morgan Stanley, JPM, BofA and even Goldman Sachs having thrown in the towel on the ongoing stock market ramp, inspired in equal part by HFT momentum strategies, central banks, and a relentless short squeeze, Deutsche Bank's equity strategist, who until now valiantly was cheerleading to bullish case, has finally waved the white flag of surrender and in an overnight note admits that "the 5% move is likely lower."

Frontrunning: June 13

  • Chaos, Carnage Amid Orlando Rampage (WSJ)
  • FBI Twice Probed Orlando Gunman (WSJ)
  • How the Orlando Shooting Unfolded (WSJ)
  • Brexit fear factor sends stocks spinning (Reuters)
  • Pound Judgment Day Means Either D

Why Are So Many Bankers Committing Suicide?

"Yes he killed himself. But there’s a question: could it be suicide by extortion... There’s a couple suspicions I have..." - son of Deutsche Bank exec William Broeksmit

Want To Make Money Trading FX? Just Wake Up At 3AM

Why wake up at 3am Eastern, or when the London session begins? Because that's when a clearly documented pattern of strength in the USD versus European crosses emerges, followed by a traditional subsequent reversal during the NY session, one which is worth between 2-3bp in each direction, if timed correctly. Do this a few hundred times per year with some leverage, and there's your 2 and 20 model right there.

European Banks Are Crashing

From Deutsche Bank to Credit Suisse and from Barclays to Banco Popolare, the European banking system is getting battered this week with today's plunge the biggest in 4 months...

Bundesbank Warns Of "Abrupt Surge" In Risk Premia, Asset Bubbles

The Bundesbank joined the fray between Deutsche Bank and the ECB, when Jens Weidmann warned that an extended period of low interest rates could increase the risk of a sudden surge in risk premiums, and policymakers should consider the implications of financial imbalances, translation: "the ECB is blowing bubbles."

Global Stocks Sharply Lower As Bond Yields Hit New Record Lows; Oil Slides Below $50

Global stocks, U.S. index futures are sharply lower pressured by fears of another day of record low bond yields, as investors start to worry about numerous risk catalysts in the coming weeks, from the Brexit vote to Fed meeting. The Dollar spot index rose for the second day in a row, pushing commodities lower for their first two-day decline since May 24, while WTI has dipped back under $50.

A Day In The Life Of Several Hundred Laid Off Nomura Traders

They made their way in dribs and drabs. Hundreds of displaced bankers, shuffling up Suffolk Lane to All Bar One and along Upper Thames Street toward the Folly, the only pubs in the City of London open that early on an overcast Tuesday morning. One group of traders was threatened with dismissal after being caught on closed-circuit TV stealing candy from a vending machine. The shell-shocked men and women sipping pints and consoling each other had become part of a growing population. Faced with a toxic blend of zero-interest rates, stiffer capital requirements and a collapse in trading revenue, banks have announced large cuts to their European operations in recent months.

 

Goldman Prepares To Turn Bearish On Oil Again; Boosts 2016 Bond Default Target By 25%

"After a quiet Jan/Feb, E&P bankruptcies picked up steam in late 1Q ahead of spring borrowing base redeterminations. By our math, about $30bn of par value debt has defaulted in the HY E&P space YTD, representing about a 17% default rate. On the back of our bottom up analysis we are now raising our full year default forecast to 21% from 17% previously."

Deutsche Bank's Shocking ECB Rant: Warns Of Social Unrest And Another Great Depression

"In the 1920s the Reichsbank thought it could have 2,000 printing presses running day and night to finance government spending without creating inflation. Around the same time the Federal Reserve allowed more than a third of US deposits to be destroyed via bank failures, in the belief that banking crises where self-correcting. The Great Depression followed.... Today the behaviour of the European Central Bank suggests that it too has gone awry."

Former Trader Loses Hundreds Of Thousands Due To "Peer Pressure"

Peer pressure is an interesting thing - sometimes it can make you do foolish things that begin with you saying "here, hold my beer", and ends with a good laugh among your friends. Sometimes however, peer pressure can make you say things like "hey let me bet this spread", and ends in giving your ex-wife the very last asset you own.

Next Banking Scandal Explodes in Spain

The Spanish investment group Blackbird claims that Banco Popular bank is offering customers dirt-cheap loans or refinancing deals, at an interest rate of just 2.5%, as long as they use some of the funds to purchase the bank’s new shares.