Deutsche Bank: "There's No Escaping The Fact That This Is A Class War"

Tyler Durden's picture

From DB's Jim Reid, who succintly explains the "benefits" of 7 years of ZIRP, NIPR, Twist and QE... and leaves off with hopes for helicopter money.

The shockwaves and consequences around Brexit will resonate for years. It's probably an understatement to say that most in financial markets regret the UK's decision to leave but we should respect the forces that have been pushing us towards what has always been an inevitable political accident sometime soon. I wasn't sure whether the Brexit vote was the one but I was pretty convinced one was coming and this is probably not the last. Spain yesterday started a general election cycle (more below but relatively market friendly) of the largest 5 euro-area economies (Spain, Holland, France, Germany and Italy) over the next 18 months or so, not forgetting the US this November. Throw in the crucial senate reform vote in Italy in October and you've got plenty of opportunity for rebellion against the establishment that haven't managed to produce satisfactory enough growth for the lower paid/lower skilled to offset the forces of globalisation and immigration.

It's worth looking at the voting split in the UK's EU referendum based on polls compiled by Lord Ashcroft to get an idea of the disenfranchisement. In terms of socio-economic groups, 57% of ABs (upper/middle class - professional/managers etc) voted remain, 49% of C1s (lower middle class - supervisory/clerical or junior management/administrative), 36% of C2s (skilled working class) and 36% of DEs (Ds - semi & unskilled manual workers. Es - casual/lowest grade worker or state pensioner). So there's no escaping the fact that this is a class war. Whether its globalisation, immigration, inequality, poor economic growth or a combination of all of them it's quite clear from this and other anti-establishment movements that the status quo can't last in a democracy. Eventually you'll have a reaction. This is one such major reaction and given that the UK growth rate has been ok of late, it would be strange if pressure didn't continue to build elsewhere where growth has been lower for longer.

Another point to make is that Europe's natural state is change through history. A few months ago I saw a great 3 minute video from the World Economic Forum showing Europe's ever changing borders since the year 1000.

It is amazing to see the constant shifting in boundaries, states and countries. By imposing an artificial EU boundary on a continent that's natural state is change you are likely to build up tensions in a similar manner to tectonic plates so when it shifts it's likely to shift big. Interestingly the video shows that in a continent of ever changing boundaries, one of the most stable alliances has been the one between England and Scotland. This is obviously at risk again. Please look at the video, even if some of the dates can be questioned, it's an impressive eye opener to the continent's evolution.

If one wants to look for positives it's that there has to be a change of economic policy soon across the globe. We've discussed many times that the global financial system and many of the economies within it are broken. Well such a shock could eventually speed up better policies to address this. As we've said many times before we'd love that policy to be more creative destruction with debt being destroyed but realistically the mess is too big to fix this way without depressionary economic conditions. We therefore need a growth plan to grow into the burden and despite the obvious issues and moral questions, helicopter money is worth a risk. Anything that gets fiscal money into the economy (paid for by money printing) will surely be biased to those disenfranchised by current policies. QE directs money into establishment institutions and only eventually the masses via trickle down (if much occurs). We think Brexit will eventually speed up 'helicopter money' and one never knows, maybe a new UK government may be forced to spend more and we'll see the UK as an early adopter.

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nopalito's picture

According to FOFOA, a class war is a struggle between debtors and savers.

VinceFostersGhost's picture



RIP were right......all those years ago.

ndotken's picture

If Soros and his Open Society Foundation are for it ... I'm against it.  Fuck him.

Ghordius's picture

are you mentioning... Soros? last thing I heard he switched from pre-BreXit full support for the EU to post-BreXit "the EU, must die"

frankly, I found his "support" for the EU kind of.... like spiders crawling on my back, with a need to wash myself

SWRichmond's picture

When I watch the map changing all I can think of is greedy sociopathic warmongering fucktards getting massive numbers of peasants to kill each other. The solution to this, of course, is to kill the greedy sociopathic warmongering fucktards instead. 


new game's picture

time to do an end around by the ruling class...

they make the rules. must be time to change the rules.

no hope/change/cog dis here. the plebs need a good ole fashion beat down...

can't have the majority steering the ship...

Muh Raf's picture

Actually it was called Christendom before the atheist idiots starting taking over. Bring it back, along with capital punishments. Flog some sense into these imbeciles ....

NidStyles's picture

The Jews are a class now?


They can't make up their minds. First they are a religious group, then they are white, then they are not white, then they are a race, then they aren't. Now they're a class.... WTF Tribe, get it right....

Kirk2NCC1701's picture

Maybe this will help: They are OPPORTUNITY CHAMELEONS, always defining or reinventing themselves as is either necessary (if their existence is on the line), or as desired  (as opportunity for advancement allows).

Among other attributes (ambition, thirst for knowledge, collaboration with own kind, loyalty to own kind), it is their ability and willingness to adapt rapidly to change or opportunities, that allows them to survive or prosper.

"All progress comes with change. Those who will not change their mind, cannot progress and are left behind." -George Bernard Shaw

Tarshatha's picture
Deutsche Bank: "There's No Escaping The Fact That This Is (((A Class War)))"


Yeah ok, whatever! The real problem here is the host is waking up to the parasite.


"Jewish Americans make up 2 percent of the U.S. population yet comprise 40 percent of U.S. billionaires."

glenlloyd's picture

I'm not sure what he's smoking but helicopter money won't solve any of the financial problems we have now, it'll just exacerabate the situation.

Like everything central bank it will give the appearance of working but by the next quarter we'll be back to where we were before but worse.

The .01% have been gorging on helicopter money now since 2008 and it hasn't done the vast majority of people any good, it's given the appearance of growth but that's not real. The CB only knows how to create credit and pull demand from the future, creating a huge problem when the future finally gets here.

The point he's missing is that we need the depression to cleanse the system of the parasites, and there are a lot of them.

Rusty Shorts's picture

There are Six Million Jews in the USA

RafterManFMJ's picture

That number sounds familiar...nope, can't quite place it.

therover's picture

Here is a good one to expound upon your statistics. According to a Google search ( what the's as good as any at this point)


"0.6 percent of the U.S. adult population are lawyers, 41 percent of the 113th Congress are lawyers'


So how are those FUCKTARDS in CONgress going to represent the population like they are supposed to ?

11b40's picture

It is really hard when another out-sized number of Congress critters are also dual citizens.  Check out dual citizens in politics, the State & Defense Departments, the Electonics firms and entire MIC & Intelligence agencies.  All through Obama's Staff, and Clinton's, and was true for GWB, too.  It looked at on a percentage of population basis, the numbers are alarming to say the least.

With the death of Scalia, there are five Roman Catholics currently serving on the court (Samuel Alito, Anthony Kennedy, John Roberts, Sonia Sotomayor, and Clarence Thomas) and three Jews (Stephen Breyer, Ruth Bader Ginsburg, and Elena Kagen).  If the current Supreme Court nominee is approved, the court will have 4 Jews and 5 Catholics.

How does 2% of the population get 45% of the seats and 20% get the rest?

MachoMan's picture

There were a greater percentage of lawyers among the founding fathers...  no one questions their representation...

Things that go bump's picture

Organized Christianity is the most repressive institution ever devised by mankind. The sooner it dies of neglect the better. 

shovelhead's picture

I suppose someone might say something like that if that person was completely ignorant of it's role in regenerating Western Civilization after the Fall of Rome.

Fish Gone Bad's picture

I suppose someone might say something like that if that person was completely ignorant


Because it is true.

Muh Raf's picture

Definitely ignorance. Although Catholicism had it's totalitarian moments, the protestant movement brought in the reformation. For instance Britain would be nothing today without its heritage which is intricately bound in the Church.

Seeing Red's picture

Do we still need a "global reserve" religion with a huge bureauracy and a muckity-muck figurehead?  Why?

Firepower's picture


mebbe all you GODDITES

should look around

and accept

God hates YOU.

Thats why Murka is rotting.


Seeing Red's picture

Sometimes I pray and I get this feeling of an infinitely wise entity getting slightly nauseous.

I wish I was kidding.

glenlloyd's picture

Since it was (in your mind) so apparently good at regenerating western civ why did it let Rome fall to begin with?

Religion in general has a tendancy to be very destructive, just think of what we lost from the library at Alexandria because of Christianity.

crazzziecanuck's picture

Any -ism is potentially desctructive, including capitalism.  It's always the minority at the top who destroys everything as power is a pheramone for the sociopath and they always, always destroy social cohesion to service their material advancement. 

Things that go bump's picture

Rather, I believe that it stopped the advance of science and in some cases actually reversed it for over a thousand years, and we have no way of knowing what sort of civilization might have been achieved without its stiffling weight.

glenlloyd's picture

it seems the phrase "everything in moderation" doesn't apply when people want to talk about religion...any religion.


MachoMan's picture

Control mechanisms tend to do that...  If moderation were available, then you could not explain why such harsh things happen on earth and why those other guys should be killed for their non-belief...  or why you can't contribute to the church...  or why your individual sovereignty must be given to divinity.  It would end up like the novelty/social club most americans tend to practice. 

Moreover, if moderation could be used, then how could you ever have a definite dogma?  The manual would need to be rewritten every time there is any change in social norms.  Without the ability to prove the existence of god, despite adequate tools to do so, what would you use to justify changes in dogma following the death of the mandate of heaven and its ideological ilk (WW2 was good for a few things)?

Rubicon727's picture

ACTUALLY, there's been much debate about that. IF the Roman Empire had not fallen, WOULD Christianity's rise have been as meteoric? You know the old adage, "Nature Abhors A Vaccum."

 From an historic perspective, had the Empire remained rock-solid, more than likely Christianity's growth would have taken far more centuries to evolve because the Empire would have pulverized the very small movement.

Hail Spode's picture

and in producing human liberty, and the idea that individuals had God-given rights, and all the advances in science from viewing the universe as having a single Law-Giver which made searches for cause and effect worthwhile. Come to think of it, without Christendom the world was a much more barbaric place- and it still is in places where Christianity has never been ascedant and things are returning to barbarism where the influence of the Gospel is waning. But let's blame God for everything because otherwise we would need to change .

SeattleBruce's picture

Wow, and you hated the flannel board stories in Sunday School too, didn't you!

Ace006's picture

You haven't read much Chinese or Muslim history.

ZD1's picture

"Actually it was called Christendom before the atheist idiots starting taking over."


Now it's becoming Europestan after Muslim rapefugees invaded in mass to establish a Muslim Caliphate.

Stainless Steel Rat's picture
Stainless Steel Rat (not verified) new game Jun 27, 2016 7:43 AM

More like between the "haves" and the "have to borrow to fund my more expensive poverty".

JRobby's picture

A pissed off attitude properly directed can yield progress.

Troy Ounce's picture



There is a difference between class and style


sgt_doom's picture

Hmmmm.... but President Hopey Changey said there's no hope for the workers?????

fishpoem's picture

I'm getting increasingly bullish on guillotine vendors.

SWRichmond's picture

Don't tease me, it's not polite.

fishpoem's picture

I'm getting increasingly bullish on guillotine vendors.

ATM's picture

He didn't go from support to EU must die but from support to the EU WILL die. Not that he is for it but he is a opportunist and simply wants to extract his rent.

Antifaschistische's picture

Here's is my take...there's a reason why NO ONE is trying to migrate to Morocco, Libya, Turkey, Syria, Saudi Arabia (okay other than slaves).

Their culture is fundamentally oppresive which relates directly to economic weakness (unless you find a few trillion dollars worth of oil)

Moving all these people to "Europe" does not make them simply weakens Europe and makes Europe more like the shit holes these people came from.  it's that simple.

"class war"?  how many types of wars are there?  Most border wars through history have been "class" wars.  Call it "class", call it "tribal", call it "culture"...whatever, roots are the same.

TuPhat's picture

The same thing is happening in the US across the southern border.  Our society is in degradation the elites think that will make it easier for them to take complete control.

Kirk2NCC1701's picture

That's because the current forms of Islam (which seem to need their version of a Reformation and Enlightenment), are opposed to Change.

They are statically bound to their mind-stifling ways, that transfers all power to their feudal and clerical overlords, with their primitive structure.

Most change is seen as a threat to their Clerics and their hold of power over the People and, as such, they go to extreme measures to keep their power and ways of life for the elite.

They see attempts at secularism as a slippery slope towards corruption, decay, decline and fall of their faith and culture. As such, they'd rather live under the yoke of their own (people or faith), than that of outsiders. Well, that's the false choice that their fundamentalist leaders try to offer their people.

But even that mindset is now failing, with the ascent of modern technologies, that offer them modern conveniences and mass communication  (and robust exchange of ideas), as we are seeing with some of the green uprisings. IMHO.

shovelhead's picture

What we're witnessing is the degeneration of Islam back to it's fundamental genesis of forcible conquest. Just as in Christianity, there always have been numerous sects that want to return to a more "pure" form of their faith and these sects wax and wane in influence over the body politic through the centuries.

I suppose a good case can be made that the West has had an undue influence in their resurgent popularity as we first help dump an immigrant population among them, made them rich and then bombed the fuck out of them to control their wealth and oil resources. That tends to make the natives restless and saddle up and ride.

Just the usual shit show of unintended consequences of ill thought out actions and meddling in others affairs.

Europe's getting a belated "Thanks for Israel" card.

Syrin's picture

The same thing is true in the US when the fuckheds who voted for state destroying politicians and polciies leave the shit holes they created in California, Massachusetts, NY, etc.   Wall the fuckheads IN.

Bank_sters's picture

Really Gordo?  So the likes of men like juncker and van rumpy leave you feeling wrapped in a warm comforter?

El Vaquero's picture

The best lies have a significant amount of truth in them.  Don't dismiss everything Soros has out of hand just because he is Soros. 


Besides, I think the old bastard is losing his touch.