Deutsche Bank

Deutsche Bank: "This Is The $2.5 Trillion Question"

"The Fed is about to become hugely important for financial assets. If all goes well, nominal core rates will be relatively stable and the dollar gently weaker. There is a good chance it does not go well, however."

World Stocks Hit Fresh Record High As Irma, Korea Rally Continues; Pounds Surges

World stocks hit new record highs on Tuesday amid a continuation of Monday's risk-on theme which unleashed a dramatic relief rally on easing North Korea tensions and signs that Hurricane Irma caused less damage than feared. The MSCI All-Country World Index gained 0.2%, hitting the highest on record with a fifth consecutive advance.

Former Deutsche Bank Head Of Subprime Trading Sued For Fraud

Nearly 10 years to the day since Lehman Brothers failed, the US filed a civil lawsuit in federal court in Brooklyn against Paul Mangione, former Deutsche Bank head of subprime trading, whom it accused of defrauding investors in mortgage-backed securities sold before the financial crisis.

Key Events In The Coming Week: BOE, SNB, Inflation And Retail Sales

In a somewhat quieter week for economic news, this week's focus is on BoE and SNB policy meetings as well as on inflation releases in US, UK, China and others. Other releases of note include retail sales in the US, UK and China along with industrial production in US, Eurozone & China.

Goldman Slashes Q3 GDP By 30% Due To Hurricane Disaster

"Given potentially sizeable growth effects from Harvey—and with Irma risks now moving to center stage—we are lowering our Q3 GDP tracking estimate by 0.8pp to +2.0%. However, we expect this weakness to reverse over the subsequent three quarters, more than recouping the lost output"

Frontrunning: September 7

  • China agrees more U.N. actions needed against North Korea after nuclear test (Reuters)
  • Hurricane Irma kills eight on St. Martin (Reuters)
  • Trump’s Surprise Deal With Democrats Sets Up Christmas Showdown (BBG)
  • North Korea pledges 'powerful counter measures' against U.S.-backed sanctions (Reuters)
  • Why Florida Is Largely Insured by Companies You’ve Never Heard Of (WSJ)

All Eyes On Draghi: Futures Flat, Euro Surges, Dollar Slides; Yuan Breaches 6.50

S&P futures are flat, still spooked by the WSJ's report that Gary Cohn will not be the next Fed chair, while both European stocks and Asian shares gain in a quiet overnight session in which everyone is looking forward to today's main risk event: the ECB meeting. The dollar continued to weaken against all of its peers with the Yuan breaching 6.50 for the first time since May 2016.