Corporate Finance

Deutsche Bank Tumbles After Abysmal Trading Results

Deutsche Bank shares tumbled 4% on Thursday after the bank reported a plunge in overall company revenue which slumped to the lowest in three and a half years, as Investment Banking revenue dropped 16%, while FICC tumbled a whopping 12% Y/Y and 30% Q/Q, with CEO John Cryan taking a page out of the Goldman playbook and blaming "muted client activity."

Frontrunning: July 5

  • U.S. Warns North Korea It’s Ready for War Over Missiles (WSJ)
  • U.S., South Korea stage show of force against North Korea (Reuters)
  • UN to Meet on North Korea as U.S. Confirms Rocket Was ICBM (BBG)
  • Trump talks tough, options limited (Reuters)
  • North Korea, Putin Meeting Top Agenda For Trump’s Tripa (WSJ)

JPMorgan COO Matt Zames Is Leaving The Bank, Takes $48 Million Exit Package

In what is the biggest financial news of the day, with "Triple Threat Thursday" now downgraded to Single, outlook negative, moments ago Bloomberg reported that JPM COO, and former co-chair of the Treasury Borrowing Advisory Committee, Matt Zames who was viewed as a potential successor to CEO Jamie Dimon, is leaving after 13 years at the bank.

French Establishment Mount The Ramparts Against Le Pen

Macron’s endorsement list tells a lot... Macron is certainly no «outsider» nor fresh-faced 'challenger' of the status quo. That’s just all superficial marketing and branding to ensure that he prevents Le Pen winning power. Macron will eventually prove to be a willing servant of global capitalism, the EU and NATO, and a ruthless economic hitman against the working class.

9 Lessons From The Reagan Tax Cuts

A close look at the ’86 tax reform shows why tax reform may not get done this year. As BofAML's Ethan Harris notes, "we are skeptical." Significant tax reform creates winners and losers, which may make it hard to find a "coalition of the willing."

New York Times Will Vacate 8 Floors In Its HQ To Generate "Significant Rental Revenue"

Remember when The NYT reported that its ad hoc campaign to boost revenue by selling subscriptions in response to the vicious back and forth with Donald Trump, was said to be a smashing success? It appears it was not smashing enough, and according to a just released note, the newspaper will vacate at least eight floors in its iconic building, allowing it to "generate significant rental income."

Futures Flat Despite China Scare As Oil Rebounds Over $47

The main risk over the weekend was that markets, which have now dropped for three consecutive weeks the longest negative streak since January, would focus their attention on the latest batch of negative Chinese economic news released over the weekend, which missed expectations across the board, most prominently in Retail Sales and Industrial Production, and following Friday's disappointing new credit loan data, would sell off as the Chinese slowdown once again becomes a dominant concern. However, after some initial weakness, the risks were all but gone when first the USDJPY jumped on another round of deflationary Japanese economic data which led to renewed hopes of more BOJ easing and a jump in the USDJPY and thus US futures.

China Sees First Offshore Default By State-Owned Firm In Two Decades

A Hong Kong unit of Guosen Securities is in technical default on a dim sum bond issued in 2014, marking the first offshore default by a Chinese SOE since the collapse of Guangdong International Trust and Investment in 1999. The subsidiary says reports that it has violated a keepweel with its parent are "exaggerated."