Feb 10

Deutsche Bank Spikes Most In 5 Years (Just Like Lehman Did):

Rumors of ECB monetization (which would be highly problematic in the new “bail-in” world) and old news of the emergency debt-buyback plan have sparked an epic ramp in Deutsche Bank’s stock this morning (+11% – the most since Oct 2011). This extreme volatility is, however, eerily reminiscent of 2007/8 when headline hockey sparked pumps and dumps on a daily basis in Lehman stock… until it was all over.

“Deutsche Bank is fixed”?

Deutsche Bank-1

Or is it?

Deutsche Bank-Lehman-Brotheres-Chart

Things are already fading…

Deutsche Bank-Stock-Chart

We suspect every bounce will be met by opportunistic selling as an inverted CDS curve has seldom if ever reverted back to life.


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One Response to “Deutsche Bank Spikes Most In 5 Years (Just Like Lehman Did)”

  1. squodgy Says:

    I recall a year ago Deutsche Bank was exposed to derivative toxicity to the tune of $70Trillion. Now it’s $75T, so they haven’t done much to protect either the stakeholders or depositors.

    The debt is now bigger than Lehman’s exposure in 2008.

    As Max Keiser says, it’s a Ponzi House of Cards and must collapse due to its unsustainability.


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