Merkel Rules out Assistance for Deutsche Bank......if this is true then the fallout could be massive

http://www.bloomberg.com...tsche-bank-focus-reports

[quote=alutacontinua]Merkel Rules out Assistance for Deutsche Bank......if this is true then the fallout could be massive

http://www.bloomberg.com...sche-bank-focus-reports[/quote]
She must be bluffing. Deutsche bank is not your run of the mill bank. It has the capability to single handedly decimate not only the German economy but also the European and global economies in one fell swoop. Not to mention the political ramifications both in Germany where Merkel is on a short leash and the larger EU.

Both a bail-in and bail-out are devastating in varying measures but DB simply can't be allowed to collapse. At this point a compromise between the two options looks like the most palatable choice. By and large the situation with DB is a case of a lose-lose scenario.

http://www.telegraph.co....a-merkel-down--and-the/

This paragraph pretty much sums it up for Merkel's Decision

"A rock and a hard place are hardly adequate to describe the options Merkel may soon find herself facing. The politics of a rescue are terrible, but the economics of a collapse are even worse. By ruling out a rescue, she may well have solved the immediate political problem. Yet when the crisis gets worse, as it may do at any moment, it is impossible to believe she will stick to that line. A bailout of some sort will be cobbled together – even if the damage to Merkel’s already fraying reputation for competence will be catastrophic."

More info coming up about how DB plans on raising cash via asset sales.....this deal alone to raise 4B getting pushed not looking promising....

http://www.wsj.com/artic...ital-raising-1474881370


"One deal that the bank has announced, in late December 2015, involves the sale of its roughly 20% stake in Hua Xia Bank, a listed company in China. Deutsche Bank initially said it expected the roughly $4 billion deal, involving the sale of the stake to a Chinese insurer, to close by the end of the second quarter, but in July extended that timeline to the end of the year, saying a three-month review by Chinese regulators would wrap up on Sept. 24.

That date passed with no announcement. Deutsche Bank has told investors in recent days it still expects the stake sale to close by the end of the year.

After the admission by OECD and UNCTAD that the global economy is not all fine and dandy, here is WTO's version of things....Apparently, world trade is lagging economic growth for the first time in fifteen years and WTO cut its estimates by a third for 2017.

The well being of the world economy both individually and collectively must be very dire for such revelations to be made public and in such quick succession. This is despite the fact that no major economy is in an official recession/crisis.
http://www.reuters.com/a...-trade-wto-idUSKCN11X0HB