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Frankfurter Allgemeine: "German Banks Need $175 Billion More In Capital"
Remember when the IMF said Europe will need $200 billion to recap itself, only for the DSK successor to promptly reneg on what she said after Europe shrieked with terror that someone in power dared to tell the truth (as opposed to marginal fringe blogs), or remember when Goldman said the real bottom line will be more like $1 trillion? We can now add FAZ and the DIW to the list of unpatriotic organizations who dare to tell the truth. From Frankfurter Allgemeine by way of Reuters: "Germany's 10 biggest banks need 127 billion euros ($175 billion) of additional capital, German newspaper Frankfurt Allgemeine Sonntagszeitung reported, citing a study by economic research institute DIW. The paper on Sunday cited Dorothea Schaefer, research director for financial markets at DIW, as saying the ratio of banks' equity capital to balance sheet total needs to rise to at least 5 percent. A source said this month that the International Monetary Fund has estimated European banks overall could face a capital shortfall of 200 billion euros." That's ok: when the pirates take charge in a few months we are certain the creditors will promptly relinquish all claims against debtor banks, or else walking the plank will become a distinct possibility.
Full FAZ article here.
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"The lamps are going out all over Europe. We shall not see them lit again in our time"
Sir Edward Grey, British Foriegn Secretary, August 3 1914
Germans are beginning to wonder whether their post war economic miracle was no more than the largest vendor financing deal in history...
Perhaps their protection (more like occupation) by American forces in lieu of not having their own was the biggest faustian bargain in history. While their MIC could produce and sell away and profit!
That, or, when we speak of Germans, there are Germans (people) and then there are Germans (the Pols, Fascists, Nahhhtzeees and the like)....two totally different kettle of fish. Like the rest of the world.
Apples/oranges etc.
ORI
Which means zey need 1,75 treeleon in derivative monees.
Eet is not goot. I think Fofa might have to retheenk. Either that, or we will have another anti-climactic fizz to all this Eurobank noise (it is a Sunday is it not, or am I dreaming) with some humongo announcement again.
DB Postbanken (or whatever it is called) in the meantime has set up shop in India to becme, in it's own words, A leader in Retail residential and commercial real estate financing.
Such ratz zese benker schumzenfetzen!
ORI
What ze Feck! Teutonic Linearity induced mayhem!
Whats up with that big assed EQ you folks had today?
Second in the last two weeks, also had two Terri-wrist attacks and warning that, specifically, intelligence has it that Al Q might be, just might be thinking about driving an explosive laden truck into gate 8 of the Mumbai International Airport anytime in the next 2 months.
Looks like India is in the cross hairs for some MoreSad love and HARP muzzik!
ORI
I would suggest going and putting a few rounds into OSB's re-corpse, but you would need to use a torpedo now. Good luck and BTW, have you noticed any corelation between CO/NM eqs and Virginia eq. Both on 31st parallel and follow each other by right at 24 hours. Interesting.
Thanks Coss. And have you heard that those CO?NM and Virginia EQ's were both so shallow because they were attacks within the Secret Govt's underground tunnel facilities? Hmmmmm...it's all getting to be more surreal by the day.
ORI
If you are a keen observer of volcanic (and earthquake) activity, you will notice that there is a lot going on right now.
- We had an increasing number of swarm quakes in Central Europe this year; 4.+ magnitude; hundreds of them, scaring people in Bavaria and Czech Republic. The reason is rising magma and a volcano that last time erupted 300.000 years ago - the amount of Helium-3 is huge and never seen before in Central Europe. Spiegel had a story on this.
- Then we have Katla on Iceland. That's a real monster. Take a minute and watch this video made by Helicopter.is - very impressive!
It was made on 9th July 2011 and there was some volcanic activity under the glacier that caused big time melting and massive floods on the south coast of Iceland. And quite recently, there have been a lot of swarm quakes in that area.
An eruption of Katla could be catastrophic - last big eruption happened in 1918 and killed thousands in Europe. You get good information on this blog: http://www.jonfr.com/volcano/
- El Hierro on the Canary Islands: The unprecedented seismic activity commenced on 19 July. In excess of 6,000 earthquakes have been recorded up to 14 September 2011. More than two dozen tremors were recorded during Wednesday (14 Sept.) alone. The vast majority of the tremors have been recorded in the northwest of the 278.5-square-kilometre island at El Golfo, the location of a massive landslide that created a 100-metre high tsunami almost 50,000 years ago. The earth tremors have ranged between 1 and 3 magnitude, the National Geographic Institute (IGN) reported. Der Spiegel had also a report on this one. It is very unlikely that a Mega-Tsunami could be triggered though.
- A few days ago, Indonesia raised the alert level for three volcanos to Orange (second-highest alert status) - one of them is Tambora. An eruption seems to be likely. It could be only be a mild one - still some scientists are worried. The last big eruption happened in 1815, almost two hundred years ago, and caused the "year without summer" and killed 90.000 people, caused hunger etc.
Now, it is obvious that there is always something going on - but as I said - if you're a keen observer, you'll notice that there is more going on than usual. Keep in mind the big earthquakes (9.0) that happened in the recent years - also very unusual. I am not saying that a catastrophic event could happen in the next days or something like that. Just saying that there are many of these events right now and that this activity is something I have not seen in many years.
Thanks for the update--scary video. I'm halfway to believing that Nibiru stuff (but not there yet).
That was pretty cool, I think the lava melted more ice than all the global warming combined.
Funny you quote that Little John
I've taken this Sunday to watch some documentaries about the first world war. I want to understand better what drove that conflict. While massively different than this time, the war was set off by a cascading effect of provocations, luring all parties in with different allegiances. I think with the possible unwinding of the EU we will see something similar, but not before each country retreats to within it's own borders politically. With the destabilization of the Middle East, the Turks all of a sudden think back of their Ottoman empire years, seeing a weakened Israel due to internal strive in that country and most likely a US not willing to commit yet more money in any additional conflicts.
How much longer will the current status remain? It's becoming clearer and clearer that the status quo will change.
G-Pap was called back to Greece by his FinMin, now I am reading that they are discussing yet more austerity.. This will not end peacefully..
The difference this time is that each nation's military parade will only take about 23 minutes thanks to US military-industrial expenditures. Of course US parades will take no longer since balance of military is overseas killing some people for some reason or other.
When the SHTF people revert to primary loyalties - family, tribe, sect. The nation state business model can command that type of loyalty only in time of national crisis ( WW2, 911 ). Since a fiat monetary system is based on “Faith and Credit” the loss of these due to crony capitalism, ineffective policies, foreign wars, rise of new media ect. ect. leads to trouble.
After Merkel's 180 degree turn related to the rescue of Greece and in parallel the 180 degree turn in what is communicated by the the government concerning their position towards Greece, however both times, exactly the opposite, we now see the beginning of the political reasoning within Germany. With DIW's scientific number on it and the FAZ getting it out to the people, Merkel begins to make people comfortable with the very soon emerging necessity of such recapitalization. Next step, look at the British, the French and all the others, either they cannot even afford such recapitalization or it will be much more expensive on a per capita basis and considering the competitive force that is to be rescued. Step 3: Create the media echo for having strengthened the position of German banks, aka Deutsche Bank in global competition and even more important, for having saved the countless jobs associated with it. Now, that's a spin.
BTW, possibly market moving tomorrow, a German surpreme court judge (the court overrun by the admin in their agreement to the EFSF, with no practical way of objection for the court) in an interview with Sueddeutsche Zeitung today stated immense concerns regarding a European Economic Government and its compliance with German constitution. Well, if that's not a loud criticism of political action just having confronted the people with their duty of EFSF, not leaving them any choice whatsoever. This time, it is different. Such provisional issue of concerns, despite on an individual and not institutional level) will make a very complex policitcal process towards a joint European Economic Governement not any easier. Explicitly, he is cited saying, such a shift of sovereign rights would require a national referendum.
http://www.sueddeutsche.de/wirtschaft/verfassungsrichter-huber-im-sz-ges...
It's too bad that the Nazis were keen on racial purification. If they had simply taken over Europe without the genocide, I think that would have been a good thing. A German-run Europe would probably be running on all cylinders today.
Come on Germany, 10 years of milking Europe with the Euro game...how much is that worth? 175 Billion?
Germans lost every single war (won some battles) in the last 1,000 years - because they are so smart?
Here's what to do to get the $175 billion. Act like you're giving it to the banks and then do a lightning fast switcharoo and give it to the people!
Jeezus! Germany is the strong one. If Germany needs billions, then what do the bad ones need?
Time to nationalize the banks. The Banks played and they lost. Sovereigns should Nationalize them, default on the odious debt, and then reboot with gold backed currencies to regain investor confidence. Then balance their socialist budgets. Bankers loss is Sovereign's gain.
Under no circumstances let banks pass banker debt onto the citizens. Their alternative is jail and hang 10% of them by random lottery. Not only the right thing to do, but will stop them from future theft.
The Horror.... Frank N. Furter -- "Come up to the lab and see what's on the slab."
No, no, no. Nationalize the Debt of the banks, not the banks themselves. Didn't you get the Geithner memo on this?
Arrrrr, Tyler me laddie.
Avast ye -- the scurvy pirates might pull a funny and start any minute.
$175 billion? Chump change. Fire up the Epsons.
tyler: someone in power dared to tell the truth (as opposed to marginal fringe blogs)
...with pirates, no less!