On a mark-to-market basis, is Deutsche Bank worth anything? From the Global Macro Monitor at macromon.wordpress.com:
Whenever we see markets tanking as they have been for the past few days with the Dow down almost 1,000 points (3.7 percent) since Friday’s close, we think counterparty risk may be spooking traders and investors. We suspect, and we could be wrong, there is a growing concern over Deutsche Bank’s (DB) stock making new all-time lows.
We see a lot of hits on our blog today on our past posts about Deutsche Bank.
Biggest Globally Systemically-Important Bank (GSIB)
Deutsche Bank, which has been labeled by the IMF as the biggest contributor to global systemic risk, hit a new all-time low in Frankfurt this morning, closing at around €8.17, down over 91 percent from its pre-GFC high and almost 50 percent year-to-date. The latest hit comes from its involvement with Danske Bank, who is wrapped up in a money laundering scandal in Estonia.
Whenever a GSIB stock is making a new low, it’s time to sit up, stand up and listen.