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Deutsche Bank Warns France May Be Put On Downgrade Review Before Year End
First we have Credit Suisse saying 66 European banks will fail the 3rd stress test, and will need hundreds of billions in fresh capital, something the market ignored entirely last week but may want to reevaluate now that the idiocy appears to have subsided. And now, inexplicably, we have Deutsche Bank warning that France may well be put on downgrade review by year end. "We highlight in this note that the French corporate sector is already financially stretched, with poor profitability and large borrowing requirements. We consider that the deterioration in economic conditions is now creating a distinct risk that France could be put under “negative watch” by the rating agencies before the end of this year. We think that France has the wherewithal to react to such an outcome and could avoid an outright downgrade by taking corrective measures quickly, but this naturally would be a very sensitive political decision a few months before a major election." Why either Credit Suisse or Deutsche Bank would jeopardize their own existence by telling the truth, we have no idea. If either of these two banks believe they can survive a vigilante attack on French spreads, and the subsequent shift of contagion to none other than Germany, we wish them all the best. Yet that is precisely what will likely happen, especially now that the market can no longer pull the trick it did for the past two weeks, and stick its head deep in the sand of complete factual avoidance.
Full note from DB below:
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et tu. brutus?
With friends like Douche Bank, who needs enemies!?!?
Frenche Bank Double-dares And Warns Germany May Be Put On Downgrade Review Before Year End.
And so the plot thickens...
Except it looks like Germany maybe exiting the Euro.
Read This - http://www.pippamalmgren.com/77.html
It's by Dr Pippa Malmgren a Senior Advisor to UBS and it's effectively an apocalyptic scenario.
Germany is insulating itself.
Weakened Euro will continue.
Some people never change.
Maybe they do need to receive the Carthage treatment.
Interesting to note if true.
I have long held that we should play the board as we see it not as we would wish it to be. Ie there will be more lies, blame and printing - same old, same old.
But an exit from the Euro by Germany would be a stroke of genius and the best outcome for the WHOLE world ( Even us...)
A chaotic break up of EZ would be messy. an exit by PIGS would be impossible to manage ( printing new notes in secret, runs on banks etc)
But if FRG leaves - their notes could be separated in due course and exchanged for a new (NB _ STRONGER currency~)
The rest would be left to rot as toilet paper....
Note that you can identify who issues your Euro notes on;
http://en.wikipedia.org/wiki/Euro_banknotes
It makes perfect sense. All the dots are joined.
It looks like the Merkozy "Secret Plan".
Should be a lot of upheaval this week.
Here is her Wiki page. She seems to check out
http://en.wikipedia.org/wiki/Philippa_Malmgren
If you think either of those parties (Merkozy) has the integrity to act correctly or the intelligence to "plan' anything then you do not have a clue about government.
It is the blind leading the blind. Ugly people going from one expedient stop gap to the next. Can you not see the FEAR on Merkels face? Out of depth and nearly out of TIME.
I worked in government for 20 years. These people are self serving, vain, incompetent cretins of the first order. And they don't give fuck about YOU.
Thanks for the Malmgren link.
No Probs,
If you look though you'll see that "secret plan" is in speech marks.
It's not just PIIGS anymore!
Here it comes, bitchez!
they are all of the porcine persuasion
Introducing ... the FIB PIGS.
Germans wants euro to be cheaper, they are export country. They will play this all the way till weekend. Then we hear positive lies and we get back near 1.40. This game have a precise schedule.
Good Bye ESFS expansions...and also the ESFS leveraging
"Iran's Ahmadinejad says US assassination plot accusations meant to cause rift with Saudi Arabia and divert attention from economic woes"
- This man is a pure truth machine, next he'll be telling us 9/11 was an inside job...
http://www.infowars.com/imf-begin-takeover-afghan-govt-ok-825-million-bailout-for-kabul-bank-bailout/
what possesses a sandy-haired bankster to tell the truth?
he is short big time
Only threats to their own existence. Let the defecting begin!
Let the defecating begin!
'Before year end' means 'before Friday this week'.
France is the new Italy. And if they are not careful, Germany will be the new France.
Dollars will soon be the new toilet paper
Stocks will soon be the new Las Vegas houses.
Bonds the new mushroom cloud.
Guns will be the new firearms.
they were the old mushroom cloud too
But USA will remain USA and Mehico, Mehico.
Wir sind Deutsche. Wir machen keine Fehler. Suck this, Frenchies
DAS ist unser EINZIGER Fehler.
Wahr. War on two fronts was another notable occasion......
Oh and buying BMI.
Did I forget Rover?
Or Lidl?
France could be put under “negative watch” by the rating agencies before the end of this year.
What the hell are they waiting for? France is no AAA credit.
France has more Bordo than it has gold. And so thinks Sarkozy, its my gold to sell to the Chinese. What he doesn't reaiize is that the Chinese prefer Vosne Romanee, not Chatto Laffitte. And he has less Vosne Romanée than even gold....So thats like having copper and thinking you have gold or platinum. Surprise, surprise.
and it tastes like shit.
I had a bottle of that Romanee Conti once.
Bloody screw cap leaked all over the Ferrari carpets on the way back from Lidl.......
"especially now that the market can no longer pull the trick it did for the past two weeks, and stick its head deep in the sand of complete factual avoidance."
Betting they still are able to find a way to do just that.
...tricks are for kids, sealed in the black hole ...bitchez, but, this generation is ''all grown up'' now and they are all punk'd out and lost within the darkness of deception, lawlessness and pure evil. http://www.youtube.com/watch?v=vvWEKhGU6X4 Frogs can't leap out of this quantum reality. Iran to the resque. Ah haa haa.
I guess they're short the EURO :-)
Let me guess?
"Lowered from AAAAAAAAAAAA^2 to AAAAAAAAAAA- with a chance for another A to be removed... and maybe even ANOTHER minus symbol perhaps even followed by an exclamation... before years end.... we really don't know why the hell we even bother. We're all insolvent. lulz."
Dude I've commented on this a number of times. The ratings are so fucking stupid, a vapid use of "As" to avoid offending the rated (i.e. the companies that pay fees to the NRSROs).
Look at this bullshit from S&P past ratings:
AAA AA+ AA AA- A+ A A- BBB+ BBB BBB- BB+ BB BB- B+ B B- CCC CC R SD
Moody's is better. It Baa1 Baa2 and Baa3 Ba1 they wanted even more a's
Whats wrong with a simple 1- 15 score with
1 being 'as good as the UK' - (never defaulted)
to 15 - 'Don't make me laugh'
Perhaps we could rename 'Greece' - "15"
(Sadly Tyler doesn't do Greek fonts....... I'm wasted around here.......)
This is in retaliation to wanting banks to take bigger haircuts... It's mutha effin on
If history has taught us anything, it is that France will unconditionally surrender to the German banks within a week or two and become their vassal state.
.
".. an acceleration in the resolution process of the Euro sovereign crisis"
Brought to you by the same guys who would prescribe a case of Smirnoff 100 to treat a cirrhosis of the liver patient.
The European banks will pass the tests
and fail the stress
Telling the truth you die, telling a lie you prosper.
'stress test' and 'fail' - this is a contradiction like 'water' and 'burn'.
drowning by numbers? I thought that when the french central bank says we guarantee you to its private banks they CAN'T fail by definition. Or has the cursor moved and now we define failure by what the market says. Double language everywhere as we hear IMF chief declare, "First the french banks must look to capital from their private investors." How can they when all their private money is sitting in US bank accounts, all 1 trllion of it...These banks speak with forked tongue.
Heeeeeere's REGGIE!!!!!!!!!!!!!!!
Stupid fucking equity markets. Yep, I held my puts all through this recent runup. How foolish to stop out, putting faith in central bankers and politicians.
The candle has been lit, it's only a matter of time before the burning wick reaches the fuel . . . .
Now wait a minute - Merkozy will certainly have something to say about that. I mean how can a German bank make judgments about fellow core EU members?
in the same way that it tells merkel what to say
At least Max Keiser will be able to protest in his adopted hometown soon
we few, we happy few, we band of silver holders . . .
OMG...
http://finance.yahoo.com/q?s=AWAY%2C+&ql=0
Add this one to the hopium-fueled names such as LNKD, CMG, LULU etc
I'll have a go: seems like another chicken match. "Recapitalise your own damn banks, France, and curtail your budget deficit too, or the unthinkable will happen, and don't think we'll back down just to prevent it." This comes just as the UK and US governments block more IMF money for Europe, and the German government refuses to allow EFSF money to be spent on French banks. And at just the most convenient moment CS and Deutsche come along to help turn up the heat, coincidentally at (afaics) the same time as the Handelsblatt happens to discover French banks. Of course, the French response is "So regrettable! Our mad Gallic pride will not allow us to back down even in the face of encroaching doom. And there's that election coming, too. You're going to have to help us out here."
Fiat currency collapses all have the same end. They go to zero. They get devalued, recycled and get reissued. In the process, survival depends on recognizing the warning signs.
http://georgesblogforum.wordpress.com/2011/10/06/crash-course/
ah awesome 'bank wars'.
"We go down...damn sure you are coming with us"
ala BIG EZ bank haircuts coming. I love it.
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