So is it safe to say this bitch is going to go down 100%?
I mean, there's literally no way they can still be liquid, right? I think its quite clear that the insolvency of this firm is going to be the catalyst for the next recession, but when do you guys think it is? I have my own hunch but wanted to see what Veeky Forums thought.
You think tomorrow? Are you assuming fed is going to lvl up +.25 ?
Jack Anderson
ok Derrick
Jordan Phillips
Fuck off us stocks only
Connor Lee
you can buy DB on the nyse
Joshua Stewart
literally retarded
Anthony Cox
You think the ECB will let it happen?
John Ortiz
I doubt it desu. Banks have a ton of protection against bankruptcy. Unless it does something Lehman-tier retarded like leverage the housing market 31:1 right before the bubble bursts I'd say they'll pull out of this one.
Ian Gutierrez
That is true, but how hedged can you be against 72.8 Trillion Dollars in Derivative Exposure?
Is it even possible?
Jack Morales
First learn what a derivative is, then you'll understand why this is a stupid question.
Dylan Thomas
I understand that they're contracts based on projections or guesses of what the market or any underlying asset/assets
I understand that they have opposing positions to try to hedge or neutralize the effect of a bad play in one direction
But should things start to perform poorly, how hedged are they? Is it literally 50/50 with opposing positions grossing 72.8T?
Wouldn't they make no money (or very little in that circumstance)? Is it reasonable to believe they would weight it more heavily in one direction?
I know that the 72.8 figure is alarming and a misrepresentation of actual risk, but isn't there still substantial risk associated with DBK?
Owen Bennett
The derivatives they have exposure to are actually hedges for other bets. Do your DD kid.
Grayson Robinson
I'm still confused.
So the derivatives they're exposed to (the value they keep listing is 72.8T) is a hedge?
For what? What are they hedging against with such a large derivatives portfolio? They're other assets?
Isn't DB's performance slumping anyways?
Gabriel Jones
*Their.
I'm not helping my case
Jose Phillips
Did you just correct the proper use of they're??
Wew lad kek
Zachary Torres
Shit i see the second one now... Nm
Grayson Thompson
funny thing is a few days ago i got a call asking me to lower my mortgage rates, there coming.
Leo Kelly
I'll leave this here
Hudson Lee
Anyone gonna comment on this?
Cooper Wood
I think he's trying to say that hedging is a form of derivatives. So you literally asked "how hedged can you be against a hedge?"
Eli Martin
Also,
>collateralized loans
Isn't this shades of 2008 all over again? The CDO's are just going to turn to dust in the 3rd parties hand as the bank goes iliquid and everything falls down all the same?
Lincoln Davis
...
Hunter Hall
Can't wait for this shit to crash already so my crypto can moon. Fucking normies and their fiat central banks, when will they learn?
Aiden James
the thing is that the chart is from 2008. What about now, how does DB's decline in 2016 compare with LEH then?
Mason Howard
didnt the german gov just buy them in?
Josiah Cox
I'm freaking the fuck out right now. This is like 2008 all over again.
Nothing is going to happen. ECB will just print more money. You really think the world will allow 2008 to happen again? Think again.
Brandon Reed
Total noob here, what should one do to prep for a 2008? Both in Veeky Forums and non Veeky Forums ways. Some people here are saying it won't happen but I still think it's something to keep in mind.
Chase Campbell
Alright, so can someone explain to me in short was exactly has happened to the Bank and is happening to it right now? I would love someone competent to give me as idiot the insight about what this ruccus is all about. I hear about the payment to the us gov and how they want to negotiate, but that cant be the biggest problem with these numbers, right?
Lincoln Torres
Is this how you cope?
Daniel Cruz
Do you have any idea how much money they would have to print to save DB? They're already printing 80 billion Euros per month now.
You do know that government is not a magic wizard, yes? They are just a bunch of people.
Buy crypto and gold, this fucker is going down, and it will drag the rest of the financial world with it.