Deutsche Bank retreats to Europe, can’t overcome reputational hit from 2007

Deutsche Bank is in full retreat from Wall Street.

The troubled German bank says it will cutback its US operations, including trading and corporate finance operations globally as it focuses on its home market. The announcement came after the bank reported yet another quarterly losses tied to reduction in trading profits.

New CEO Christian Sewing — which I pointed out here and here led an investigation into the multiple executive suicides from a decade ago — said headcount will see a “significant reduction” in the 97,130-person workforce. Continue reading

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Say what you want, but cryptos move higher on stronger dollar

Bitcoin stealthily moved over the $9,000 mark overnight, despite the continuing noise coming out by financial watchdogs.

While I still believe bitcoin is the blue chip of the cryptocurrencies, over the last month’s rise it has lagged other acceptable digital currencies in appreciation. Ripple soared 85% and ethereum is up almost 65% over the last two weeks, while litecoin and bitcoin trail with roughly 36% appreciation over the same time frame. Continue reading

Fed can’t find inflation, but let’s raise rates to help the banks

The Federal Reserve — headed now by Jay Powell — released the minutes from the last meeting in March. The Fed is feeling that inflation, which has been under 2% annually for many years, is about to grow.

There is little evidence of inflation, but the Fed says that since Trump’s tax cuts gave thousands of workers a bonus and the raising of minimum wage, inflation will come and the Fed should continue raising rates. Continue reading

Trump’s China tariff battle really about IP

President Trump — bolstered by the 750-point snap back in the Dow Wednesday — tripled down on his China tariffs Thursday stating the US was looking at an additional $100 million in imports.

Market futures on Friday morning seem to confirm that the new ploy has a much smaller effect on the markets. Futures this morning are down 200 points as oppose to -500+ Wednesday morning. Continue reading