Is Deutsche bank a good buy?
right now, its trading at 1/3 book value.
But, even assuming the worst--assuming we are heading into a really bad recession--I just have a hunch it wouldnt play out the same way the 08 crisis did. In 08, the entire government was asleep at the wheel and didnt intervene to save bear and lehman. This time around--and especially because Deutsche is so big--they are going to be extra vigilant, and for the past 8 years, central banks have erred on being too loose with their money.
And right now it is trading below 09 lows, so how much lower could it go outside of a crisis?
>>1076275
>Is Deutsche bank a good buy?
No. Probably not. Unless you think the public have an appetite to bail out banks for the 2nd time in less than a decade.
>>1076279
thats the interesting thing, though.
If its not a good buy, we are all fucked. if deutsche goes, everything goes.
If you want to buy a bank, look at HBAN or CFR.
>>1076284
>If its not a good buy, we are all fucked. if deutsche goes, everything goes.
Maybe, but I suspect there will be blood in the streets if they try to tax people for this again.
Anyway, your call. I think the US is somewhat insulated this time around.
>>1076275
Zero hedge just posted some interesting speculation that Deutsche is about to pop.
Apparently credit default swaps are selling like hotcakes over there.
>>1077014
Agree with this guy,
I think bad times are coming but America has managed to raise the drawbridge
>>1076275
pic related and the fact that they have 9 gazillion dollarinos in derivatives that can go bust at any time, tells me thats a really bad idea.
>>1076275
Well if the people currently holding lots of their 'assets' go bust and are unable to make good on the payments their book value could be reduced a lot very rapidly, see 2007-8
