The Big Bailout of the Eurozone (Another crisis coming? - Seriously)

[seafoid]

What do you mean by 'cancel what they bought'?

Is it like collecting money and electronically deleting it, like we were doing with Lenny's promissory note?

If inequality really is the problem, then there is no solution. Because people are not born equal.

The percentage of wealth held by the richest goes from safe to dangerous over time. Dangerous means deflation. We are at dangerous now. 

[armaghniac]

What do you mean by 'cancel what they bought'?

Is it like collecting money and electronically deleting it, like we were doing with Lenny's promissory note?

If inequality really is the problem, then there is no solution. Because people are not born equal.

The percentage of wealth held by the richest goes from safe to dangerous over time. Dangerous means deflation. We are at dangerous now.

I think we should deflate Tony Fearon, and the Dubs.

[muppet]

What do you mean by 'cancel what they bought'?

Is it like collecting money and electronically deleting it, like we were doing with Lenny's promissory note?

If inequality really is the problem, then there is no solution. Because people are not born equal.

The percentage of wealth held by the richest goes from safe to dangerous over time. Dangerous means deflation. We are at dangerous now.

The answer to every question is not how much money the richest have.

World poverty is lower than it has ever been in history. That is not to say that it shouldn't be much lower, but it is important to add some facts to the populist sh*te. Life expectancy is higher than it has even been in history. Education is better and more freely available than it has ever been.

Debt, and the addiction of populists from the left and the right to debt, is the problem.

[seafoid]

What do you mean by 'cancel what they bought'?

Is it like collecting money and electronically deleting it, like we were doing with Lenny's promissory note?

If inequality really is the problem, then there is no solution. Because people are not born equal.

The percentage of wealth held by the richest goes from safe to dangerous over time. Dangerous means deflation. We are at dangerous now.

The answer to every question is not how much money the richest have.

World poverty is lower than it has ever been in history. That is not to say that it shouldn't be much lower, but it is important to add some facts to the populist sh*te. Life expectancy is higher than it has even been in history. Education is better and more freely available than it has ever been.

Debt, and the addiction of populists from the left and the right to debt, is the problem.

Who owns the debt? Deveraging never got going. Why?
Productivity is another massive problem.

[muppet]

I would say the growth, or the lack of it is the answer to your question.

Increasing productivity is fine, as long as you have growth to increase demand, or growth in new areas to re-locate those who lose their jobs, or ideally both.

[seafoid]

I would say the growth, or the lack of it is the answer to your question.

Increasing productivity is fine, as long as you have growth to increase demand, or growth in new areas to re-locate those who lose their jobs, or ideally both.

http://blogs.ft.com/andrew-smithers/2014/06/poor-productivity-is-no-puzzle-3/

[seafoid]

Deutsche Bank is on a very shaky scraw
http://www.ft.com/cms/s/0/c882de4e-83c1-11e6-a29c-6e7d9515ad15.html

[muppet]

Deutsche Bank is on a very shaky scraw
http://www.ft.com/cms/s/0/c882de4e-83c1-11e6-a29c-6e7d9515ad15.html

For those who don't subscribe to FT...

http://www.rte.ie/news/business/2016/0926/819285-deutsche-bank-fine/

Deutsche Bank denies need for government bailout over $14 billion fine

Deutsche Bank has said it has no need for German government help with a $14 billion (€12.4 billion) US demand to settle claims it missold mortgage-backed securities, as its shares hit a record low.

German magazine Focus reported at the weekend that Chancellor Angela Merkel had met Deutsche Bank Chief Executive John Cryan over the summer and had indicated he could expect no help from Berlin in resolving the bank's dispute with the US Department of Justice.

Ms Merkel had also ruled out state aid to Deutsche Bank, the magazine said, citing government sources.

Germany's biggest lender responded by saying it did not require assistance from Berlin and had not requested it.


Troubled bank insists it needs no new funding. Where have we heard that before? Has it ever been true?

[seafoid]

Deutsche Bank is on a very shaky scraw
http://www.ft.com/cms/s/0/c882de4e-83c1-11e6-a29c-6e7d9515ad15.html

For those who don't subscribe to FT...

http://www.rte.ie/news/business/2016/0926/819285-deutsche-bank-fine/

Deutsche Bank denies need for government bailout over $14 billion fine

Deutsche Bank has said it has no need for German government help with a $14 billion (€12.4 billion) US demand to settle claims it missold mortgage-backed securities, as its shares hit a record low.

German magazine Focus reported at the weekend that Chancellor Angela Merkel had met Deutsche Bank Chief Executive John Cryan over the summer and had indicated he could expect no help from Berlin in resolving the bank's dispute with the US Department of Justice.

Ms Merkel had also ruled out state aid to Deutsche Bank, the magazine said, citing government sources.

Germany's biggest lender responded by saying it did not require assistance from Berlin and had not requested it.


Troubled bank insists it needs no new funding. Where have we heard that before? Has it ever been true?

That was last week

Shares are down to a 30 year low.
Near zero interest rates are killing the bank which has very high costs.
Schadenfreude levels are reportedly very high in Greece

[muppet]

Deutsche Bank is on a very shaky scraw
http://www.ft.com/cms/s/0/c882de4e-83c1-11e6-a29c-6e7d9515ad15.html

For those who don't subscribe to FT...

http://www.rte.ie/news/business/2016/0926/819285-deutsche-bank-fine/

Deutsche Bank denies need for government bailout over $14 billion fine

Deutsche Bank has said it has no need for German government help with a $14 billion (€12.4 billion) US demand to settle claims it missold mortgage-backed securities, as its shares hit a record low.

German magazine Focus reported at the weekend that Chancellor Angela Merkel had met Deutsche Bank Chief Executive John Cryan over the summer and had indicated he could expect no help from Berlin in resolving the bank's dispute with the US Department of Justice.

Ms Merkel had also ruled out state aid to Deutsche Bank, the magazine said, citing government sources.

Germany's biggest lender responded by saying it did not require assistance from Berlin and had not requested it.


Troubled bank insists it needs no new funding. Where have we heard that before? Has it ever been true?

That was last week

Shares are down to a 30 year low.
Near zero interest rates are killing the bank which has very high costs.
Schadenfreude levels are reportedly very high in Greece

Wasn't Deutsche Bank one of the last one's still buying CDSs when everyone else was running for the nuclear bunkers in The Big Short?

[seafoid]

Deutsche Bank is on a very shaky scraw
http://www.ft.com/cms/s/0/c882de4e-83c1-11e6-a29c-6e7d9515ad15.html

For those who don't subscribe to FT...

http://www.rte.ie/news/business/2016/0926/819285-deutsche-bank-fine/

Deutsche Bank denies need for government bailout over $14 billion fine

Deutsche Bank has said it has no need for German government help with a $14 billion (€12.4 billion) US demand to settle claims it missold mortgage-backed securities, as its shares hit a record low.

German magazine Focus reported at the weekend that Chancellor Angela Merkel had met Deutsche Bank Chief Executive John Cryan over the summer and had indicated he could expect no help from Berlin in resolving the bank's dispute with the US Department of Justice.

Ms Merkel had also ruled out state aid to Deutsche Bank, the magazine said, citing government sources.

Germany's biggest lender responded by saying it did not require assistance from Berlin and had not requested it.


Troubled bank insists it needs no new funding. Where have we heard that before? Has it ever been true?

That was last week

Shares are down to a 30 year low.
Near zero interest rates are killing the bank which has very high costs.
Schadenfreude levels are reportedly very high in Greece

Wasn't Deutsche Bank one of the last one's still buying CDSs when everyone else was running for the nuclear bunkers in The Big Short?

Yes

The Germans have been hammering the Piggies about moral hazard since 2008. As a result the Eurozone does not have the following infrastructure

• Banking union with a single supervisor
• a single resolution authority
• a common safety net involving
o Deposit insurance
o fiscal backstops
o burden sharing and
o a credible Lender of Last Resort

The existential moral hazard is on the DB balance sheet
https://www.youtube.com/watch?v=LHx-OgXaQAc

[Franko]

http://www.zerohedge.com/news/2016-09-27/356-billion-fund-manager-now-most-treacherous-time-ever-ive-never-seen-my-career

This is interesting/scary.  Usually it's these guys talking things up. But they're saying the exact opposite.

*Edit

Read in conjunction with this.

http://www.zerohedge.com/news/2016-09-21/195-billion-asset-manager-time-has-come-leave-dance-floor

[Main Street]

From what I gather, this 13bn is a % of income from 110bn, from sales around europe and at some stage that money was routed through some pokey apple owned, 2 roomed unmanned office in Dublin, before going somewhere else,  at present remaining in an untaxed state, a financial limbo, piles and piles of stagnant wealth, extracted from circulation.

Most citizens in Europe would probably concur that Apple should pay corporate tax on this income at source in Europe. Ireland could gather this tax on behalf of our European neighbors , employ a number of suitably qualified professionals,  the  state can extract  a  generous commission (10% )  and redistribute the rest to the other European countries based on sales figures.

[seafoid]

http://www.zerohedge.com/news/2016-09-27/356-billion-fund-manager-now-most-treacherous-time-ever-ive-never-seen-my-career

This is interesting/scary.  Usually it's these guys talking things up. But they're saying the exact opposite.

*Edit

Read in conjunction with this.

http://www.zerohedge.com/news/2016-09-21/195-billion-asset-manager-time-has-come-leave-dance-floor

Anyone concerned about investment returns should book a discussion with an advisor from Muppet LLP.

[Hound]

From what I gather, this 13bn is a % of income from 110bn, from sales around europe and at some stage that money was routed through some pokey apple owned, 2 roomed unmanned office in Dublin, before going somewhere else,  at present remaining in an untaxed state, a financial limbo, piles and piles of stagnant wealth, extracted from circulation.

The 13bn is 12.5% of Apple's untaxed international profits.

The company that earned it (owned the international IP and technology rights to which all the untaxed profits derived) was incorporated in Ireland, but was never tax resident in Ireland, never managed from Ireland. So just like Dermot Desmond and Denis O'Brien were born in Ireland, but are not resident in Ireland, they don't pay Irish tax on their international earnings. Where they are actually resident, if anywhere, is irrelevant to Ireland - all that's important from an Irish tax viewpoint is they are not resident in Ireland. And this was the way corporate residence used to work too.

The profits don't belong to Ireland or anywhere else in Europe for that matter. They all got their share of Apple's profits, based on the activities that take place in those countries. And Apple would be heavily audited by Revenue authorities throughout Europe.

The offshore international profits are technically liable to tax in the US. But there is a US provision (or "loophole" as people like to call such things) that allows groups to defer paying tax on group's international profits until the money is remitted back to the US, subject to meeting a number of conditions (which I don't think are too onerous, given all the US MNCs avail of it). No such loophole exists in UK, Germany, Canada, Australia, hence it was only US companies who could leave millions or billions of untaxed income offshore. The loophole could be closed with a flick of a pen in the US, but it never has been.