Saturday, October 1, 2016

So, What's the Worst Case Scenario With Deutsche Bank?

"...If any risks get out of control, Gambles warns that it could easily spiral and the total exposure could conceivably be beyond Germany's resources. In which case Deutsche Bank goes, it would take the German economy, the euro zone banking system, the euro zone economy, the Chinese banking system and the global economy with it, he added.
Additionally, if the finance ministry act too late then it could quickly become such an impossible task, that either Germany exits the euro or the euro exits Germany, Gambles warned.
"(In this situation) Germany prints like crazy and before you know it, the German fears of hyperinflation are revisited – Germany is the major global economy that faces the risk of a currency and debt event big enough to cause hyperinflation which may be the most ironic aspect of the whole affair," he added...."

That's from CNBC's "The man who called Deutsche’s decline has some gloomy predictions on what’ll happen next".