Skip to comments.Germany's Merkel cannot afford to bail out Deutsche Bank: media
Posted on 10/02/2016 4:36:08 PM PDT by Lorianne
German Chancellor Angela Merkel cannot afford to bail out Deutsche Bank (DBKGn.DE) given the hard line Berlin has taken against state aid in other European nations and the risk of a political backlash at home, German media wrote on Saturday.
The government denied a newspaper report on Wednesday that it was working on a rescue plan for Germany's biggest bank, as its shares went into a tailspin fueled by a demand for up to $14 billion from U.S. authorities for misselling mortgage-backed securities before the financial crisis.
Germany, which has insisted Italy and others accept tough conditions in tackling their problem lenders, can ill afford to be seen to go soft on its flagship bank, the Frankfurter Allgemeine wrote.
"Of course Chancellor Merkel doesn't want to give Deutsche Bank any state aid," it wrote in a front-page editorial. "She cannot afford it from the point of view of foreign policy because Berlin is taking a hard line in the Italian bank rescue."
(Excerpt) Read more at reuters.com ...
Do a reverse jizyiaa tax on the muzzies.
They won’t get bailed out. The word is that they will be allowed to “bail in”, by converting some the people’s money into bank stock, which will probably immediately go down in value.
So you believe they will commit suicide and allow their financial system and economy to collapse, in order to prove their adherence to abstract principle? The Germans are pretty stubborn, but even they will bow to reality.
Not a problem.
The EU will just hammer Google, Apple, Starbucks...
Just shake the money tree, some more.
That is part of the terms and conditions of the COCO:
The bondholders who bought them knew what the conditions were when they purchased these things. They just didn’t think it would happen.
What do you call these bondholders? COCO-nuts?
“How did you go bankrupt?”
“Slowly, at first, then all at once”
Mutilated quote from “The Great Gatsby”(?)
“USA authorities” demandning billions from DB? (and for alleged improprieties in 2007!?)
seems like Obama is still trying to undercut, weaken Germany
just like he does UK, USA, Israel, etc.
but he will know what Merkel will do .. he’ll know before anyone else, since he’s routinely bugged her private phones
This is why, if DB collapses, it will set off a global financial bomb:
It’ll be fun to see what sequence of events the collapse will set into motion.Two things are for sure...1) the Euro will plummet and 2) so will oil.
Well it’s looking like Trump may win, time to take down the global economy, scorched earth and all that.
The will petition Congress, who will then petition the Federal Reserve to print more money out of nothing. Loans will be restructured and due dates will be extended, etc.
The American taxpayers will be the patsys. The dollar will buy less and there will be a back-door tax increase in the form of inflation.
Then the American government will say that there is no inflation because the indicators that show inflation won't be counted.
You’ve summed it up exactly.
Deutsche Bank is an organ of German/European State power. It won’t be allowed to fail.
They will simply have the European Central Bank print up 100 Billion Euros to buy whatever crappy “collateral” Deutsche Bank can scrape up. They’ll call it by some technical name and have a fake debate about it to give it the air of democracy, but that’s what will happen.
Its the same state of affairs we are in with our own Central Bank, only in Europe, their banks are in far worse shape.
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